Flexituff Ventures International Limited has received a penalty notice from the Bombay Stock Exchange (BSE) for failing to submit its financial results within the prescribed timeframe. The company, which earlier announced operational challenges affecting its Q2FY26 results submission, now faces regulatory consequences for the delay.

BSE Penalty Details

The regulatory penalty imposed by BSE includes the following components:

The fine has been imposed under SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, specifically for non-compliance with Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Original Operational Challenges

Manufacturing Disruptions

The company's Kashipur-based plant in Uttarakhand experienced significant operational disruptions due to:

• Critical raw material shortages affecting production
• Labor strike resulting from non-payment of wages and salaries
• Inability to access servers and financial records at the manufacturing facility

Regulatory Timeline

Flexituff Ventures was originally required to file its unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025, by November 14, 2025.

Company Response and Compliance

The company has acknowledged receipt of the BSE penalty notice and confirmed that:

Rahul Chouhan, Whole Time Director, had earlier stated that the company is making every effort to complete and submit the financial results along with related party transaction details at the earliest.

Regulatory Framework

The penalty falls under the penal actions framework for non-compliance, where BSE levies ₹5,000 per day from the due date until compliance is achieved. The company has been advised to ensure future compliance with regulatory requirements and inform the Board of Directors about this non-compliance issue.

Current Status

The trading window for Flexituff Ventures' securities remains closed for designated persons until 48 hours after the declaration of financial results. The company continues to work on resolving its operational challenges while managing the regulatory consequences of the delayed submission.

Flexituff Ventures International Limited , a manufacturer of flexible intermediate bulk containers and geotextiles, is facing severe financial and operational challenges. The company reported a net loss of Rs 3,629.31 lakhs for the half-year ended September 30, with significant disruptions at its manufacturing facilities.

Financial Distress and Operational Challenges

Flexituff Ventures is grappling with severe financial distress, characterized by:

• Negative equity of Rs 858.54 lakhs
• Over-utilization of credit facilities by Rs 7,473.63 lakhs
• Significant going concern uncertainties affecting its ability to continue operations

Production Halt at Kashipur Plant

The company's Kashipur plant has experienced major operational disruptions due to:

• Critical shortage of raw materials
• Labour strikes resulting from unpaid wages and salaries

Impact on Pepalgaon Facility

In addition to the issues at Kashipur, Flexituff's Pepalgaon facility in Uttarakhand is also facing significant challenges:

• Complete halt in production due to non-availability of essential raw materials
• Labour strike as a consequence of the production stoppage and non-payment of wages

Key Details of the Disruption

Impact Assessment and Resolution Efforts

While no physical damage has been reported at the factories, Flexituff Ventures is currently assessing the full impact of these disruptions on its overall production and operations. The company has stated that it is actively working to address both the supply chain constraints and the labour-related concerns.

Flexituff Ventures International Limited has assured stakeholders that it is committed to restoring normalcy at the earliest. The company has pledged to keep the stock exchanges informed of any further developments regarding this situation.

As the situation unfolds, investors and stakeholders will be closely monitoring the company's efforts to resolve these operational and financial challenges and their potential impact on Flexituff Ventures' performance in the coming quarters.