Sri Adhikari Bros. Tele Network , a company with a history in the television industry, has announced a significant strategic shift towards artificial intelligence (AI) and machine learning technologies. The company has issued a postal ballot notice seeking shareholder approval for several major changes, including a proposed name change to Aqylon Nexus Limited, reflecting its new focus on cutting-edge technologies.

Key Developments

Name Change and Business Pivot

• Proposed new name: Aqylon Nexus Limited
• Focus shift: AI and machine learning technologies
• Amendment of main business objectives to align with the new direction

Changes in Statutory Auditor

• Resignation accepted: M/s Hitesh Shah Associates
• New appointment: M/s. Bilimoria Mehta & Co.

Shareholder Approval Process

• Remote e-voting scheduled from December 3 to January 1

Previous Announcements

AI Green Data Centre Project

• Proposed setup: 50MW AI Green Data Centre Campus in Telangana
• Purpose: To support India's national AI ambitions and strengthen digital infrastructure

Withdrawal of Share Applications

• Withdrawn from BSE and NSE:
  • 1,50,00,000 equity shares
  • 6,80,20,000 convertible warrants

Financial Overview

The company's financial position, based on the latest balance sheet data, shows some concerning trends:

The financial data indicates a significant deterioration in the company's financial health over the past year. The negative total equity and substantial decrease in fixed assets are particularly noteworthy, potentially reflecting the challenges faced by the company in its traditional business model.

Analysis

The strategic pivot towards AI and machine learning, along with the proposed name change, suggests a radical transformation in Sri Adhikari Bros. Tele Network's business model. This move could be seen as an attempt to revitalize the company's prospects in the face of financial difficulties.

The proposed AI Green Data Centre in Telangana aligns with India's growing focus on digital infrastructure and AI capabilities. However, given the company's current financial position, the feasibility and funding of this ambitious project remain unclear.

The withdrawal of applications for equity shares and convertible warrants from stock exchanges might indicate a reassessment of the company's capital raising strategies in light of its new direction.

Investors and stakeholders should closely monitor how the company plans to finance its transition and new ventures, especially considering its current negative equity position. The success of this strategic shift will likely depend on the company's ability to secure funding, attract talent in the AI sector, and effectively execute its new business plan.

As Sri Adhikari Bros. Tele Network embarks on this transformative journey, it will be crucial to observe how it addresses its current financial challenges while pursuing opportunities in the rapidly evolving AI and machine learning sectors.

Sri Adhikari Bros. Tele Network Limited (SABTNL) has reported a turnaround in its financial performance for the half-year ended September 30, 2025, alongside announcing plans for key leadership appointments.

Financial Performance

The company reported a profit of Rs. 1,227.04 lakhs for the half-year period, an improvement from a loss of Rs. 2,236.83 lakhs in the previous year. This turnaround was largely driven by an exceptional gain of Rs. 1,543.59 lakhs from the sale of immovable properties in Andheri, as part of the NCLT-approved Resolution Plan dated December 8, 2023.

Revenue from operations for the quarter ended September 30, 2025, stood at Rs. 434.28 lakhs. The company's total income for the same quarter was Rs. 434.28 lakhs, compared to Rs. 37.07 lakhs in the previous quarter and Rs. 126.71 lakhs in the corresponding quarter of the previous year.

Key Financial Metrics

Balance Sheet Highlights

As of September 30, 2025, SABTNL reported total assets of Rs. 1,797.93 lakhs, a decrease from Rs. 5,311.70 lakhs as of March 31, 2025. The company's equity share capital remained unchanged at Rs. 2,537.31 lakhs, while other equity improved to negative Rs. 2,454.60 lakhs from negative Rs. 3,680.89 lakhs at the end of the previous fiscal year.

Operational Updates

The company operates in a single segment of content production and distribution. During the quarter, SABTNL fully repaid its bank liabilities in accordance with the NCLT-approved Resolution Plan. However, the company has not yet received a No Dues Certificate or balance confirmation from Central Bank of India as of September 30, 2025.

Corporate Governance and Future Plans

SABTNL has issued a postal ballot notice seeking member approval for several key appointments. The e-voting process is scheduled to run from December 02, 2025 to December 31, 2025. The proposed appointments, effective from October 10, 2025 to October 09, 2030, include:

1. Mr. Srivatsava Sunkara as Managing Director
2. Mr. Kiran Kumar Inampudi as Executive Director and Chairman
3. Three independent directors

Auditor's Note

The company's auditors, Hitesh Shah & Associates, have highlighted a material uncertainty related to the going concern status of SABTNL. They noted that current liabilities substantially exceed current assets, and the company has a negative Other Equity of Rs. 2,453.85 Lakhs as of September 30, 2025.

The management continues to prepare financial results on a going concern basis. The auditors have emphasized that the impact of pending direct and indirect tax assessments has not been accounted for in the current period's results.

While SABTNL's improved financial performance and proposed leadership appointments may indicate positive changes, the auditors' concerns suggest ongoing challenges in stabilizing the company's financial position.