Nitin Fire Protection Industries Limited has completed a significant milestone in its corporate restructuring journey, successfully concluding its liquidation sale process and reconstituting its board of directors. The company, which had been operating under insolvency proceedings since 2018, has emerged from the liquidation process following its acquisition by a consortium led by Elysian Wealth Fund.

Corporate Restructuring Journey

The company's restructuring timeline reflects a complex legal process spanning several years. Nitin Fire Protection Industries was admitted under the Corporate Insolvency Resolution Process on October 22, 2018, followed by liquidation proceedings that commenced on January 18, 2022, under the Insolvency and Bankruptcy Code, 2016. Throughout this period, the powers of the Board of Directors remained suspended, with Mr. Uliyar Balakrishna Bhat serving as the Liquidator.

The liquidation process reached completion with the successful sale of the company as a going concern under Section 33 of the IBC, 2016. A sale certificate was issued, marking the formal conclusion of the sale process, though the company awaits the final liquidation closure order from the NCLT.

Acquisition and New Ownership

The acquisition was completed by a consortium comprising Elysian Wealth Fund (formerly Silver Stallion Limited), Vikasa India EIF I Fund, and AIG Direct LLC. This consortium emerged as the successful bidders and purchasers of the company following directions issued by the NCLT Mumbai Bench.

Board Reconstitution

Following the acquisition, the liquidator has appointed three new directors to reconstitute the company's board, all designated as non-executive, non-independent directors:

Director Profiles and Expertise

The newly appointed directors bring substantial industry experience to the company. Mr. Allan Marcelline Lopes contributes over 45 years of experience in firefighting industries, with expertise in CO2, HFC, and Hydrant systems. His background includes significant projects such as CO2 Fire Extinguishing Systems at Haldia power plant and FM200 system design and execution. He holds qualifications in Mechanical Draftsman and Piping Draftsman.

Mr. Vikas Arunkumar Makharia brings over 35 years of senior-level executive experience in driving business initiatives across competitive environments. His expertise includes strategic planning, operational efficiency enhancement, and stakeholder engagement. He holds an MBA from the Indian Institute of Management, Kolkata, and a Bachelor of Commerce from the University of Mumbai.

Mr. Kailat Hariharan Vaidyanathan contributes over 50 years of experience in high-pressure and CNG cylinders, with extensive knowledge in cylinders manufacturing and distribution networks. He holds a Post Graduate degree in Industrial Engineering and Management.

Regulatory Compliance and Financial Reporting

The liquidator has also approved the company's unaudited financial results for multiple periods. These approvals were made in compliance with SEBI Listing Regulations, ensuring continued transparency and regulatory adherence during the transition period.

All newly appointed directors have been confirmed as not being debarred from holding directorial positions by SEBI or any other regulatory authority, and none are related to existing directors, key managerial personnel, or promoter groups of the company.

Nitin Fire Protection Industries Limited has delivered outstanding financial performance for Q2 FY26 (quarter ended September 30, 2025), continuing its remarkable turnaround trajectory from previous year losses. The company, operating in fire protection and detection equipment sector, maintains strong operational recovery while remaining under liquidation proceedings.

Q2 FY26 Standalone Financial Performance

The company's standalone results for Q2 FY26 demonstrate sustained growth momentum across key financial metrics:

Half-Year FY26 Consolidated Results

On consolidated basis, including subsidiary and associate companies, the half-year performance showcases robust growth:

Operational Efficiency and Asset Management

Total standalone expenses for Q2 FY26 increased to ₹563.25 lakhs from ₹452.42 lakhs in Q1 FY26, primarily driven by higher cost of materials consumed at ₹343.34 lakhs and employee benefits expense of ₹90.53 lakhs. The company's balance sheet strengthened significantly with total assets reaching ₹3,640.47 lakhs as of September 30, 2025, compared to ₹2,291.54 lakhs in March 2025.

Cash Flow and Financial Position

The company generated substantial cash flows during the half-year period, with notable proceeds of ₹1,818.80 lakhs from sale of property, plant and equipment. Cash and cash equivalents surged to ₹714.98 lakhs from ₹1.54 lakhs, reflecting improved liquidity position. Trade receivables increased to ₹889.60 lakhs, indicating growing business activity.

Corporate Restructuring Progress

Following the successful completion of liquidation sale process with sale certificate issued on October 3, 2024, the company appointed three new directors as approved by the liquidator:

These appointments were made pursuant to the acquisition plan submitted by Elysian Wealth Fund (formerly Silver Stallion Limited) in consortium with Vikasa India EIF I Fund and AIG Direct LLC.

Regulatory Status and Compliance

The company remains under liquidation with Mr. Uliyar Balakrishna Bhat serving as liquidator. Key regulatory developments include awaiting final liquidation closure order from NCLT and initiating process for filing interlocutory application for cancellation and issuance of fresh equity shares. The financial results were approved by the liquidator on December 15, 2025, with statutory auditors Tolia & Associates expressing unqualified conclusions on both standalone and consolidated financial statements.