Subam Papers Limited has announced its unaudited financial results for the quarter ended December 31, 2025, following the board meeting held on February 25, 2026. The Tamil Nadu-based packaging company submitted both standalone and consolidated financial statements along with limited review reports to BSE under Regulation 33 of SEBI LODR.

Standalone Financial Performance

The company's standalone operations showed a quarter-over-quarter revenue decline but maintained profitability. The board meeting, which commenced at 5:30 PM IST and concluded at 7:55 PM IST, approved the financial results as previously scheduled.

Consolidated Financial Results

The consolidated results, which include subsidiaries Subam Paper and Boards Private Limited, Subam Agro Ventures Private Limited, and three LLP entities, presented a different picture with significantly lower profitability.

Regulatory Compliance and Future Plans

The company continues to operate on BSE's SME platform under scrip code 544267. However, the board had approved a proposal for further equity share issuance on November 14, 2025, which received shareholder approval in an extraordinary general meeting on December 10, 2025. Upon completion of this issue, the post-issue paid-up equity share capital is expected to exceed ₹25.00 crores.

Auditor Review and Subsidiary Performance

CNGSN & Associates LLP, the company's statutory auditors, issued unmodified limited review reports for both standalone and consolidated results. The auditors noted that three subsidiaries with total assets of ₹3,223.65 lakhs contributed revenue of ₹1,049.00 lakhs but reported a net loss of ₹135.81 lakhs during the quarter.

These represent the company's first consolidated quarterly financial results prepared under Regulation 33 of SEBI LODR, marking a transition toward enhanced financial reporting requirements as the company prepares for potential migration from the SME platform.

Subam Papers Limited has successfully completed a significant preferential allotment, raising ₹104.38 crores through the issuance of warrants and equity shares. The Board of Directors approved the allotment on February 04, 2026, marking a major capital raising initiative for the Tamil Nadu-based packaging company.

Allotment Details and Structure

The company allotted a total of 68,67,200 securities comprising 26,32,800 warrants and 42,34,400 equity shares at ₹152.00 per security, including a premium of ₹142.00. The face value of each security stands at ₹10.00.

Warrant Allotment to Promoters

The warrant issuance was exclusively allocated to promoters and promoter group entities. Thirupathi Balakumar, the Managing Director, received the largest allocation of 13,16,000 warrants for ₹20,00,32,000.00. BMM Paper Board Private Limited, a promoter group entity, was allotted 9,87,200 warrants worth ₹15,00,54,400.00, while promoter Alagarsamy Sudha received 3,29,600 warrants valued at ₹5,00,99,200.00.

Equity Share Distribution

The equity shares were allocated to 47 public investors, with Madhuri Madhusudan Kela receiving the largest allocation of 19,28,000 shares for ₹29,30,56,000.00. Other significant allottees include Invicta Continuum Fund I with 4,99,200 shares worth ₹7,58,78,400.00 and Invicta Finserv Private Limited with 2,99,200 shares valued at ₹4,54,78,400.00.

Warrant Conversion Terms

The warrants carry specific conversion terms with an 18-month exercise period from the date of allotment. Each warrant is convertible into one equity share of face value ₹10.00. For the warrants, allottees paid ₹38.00 per warrant at the time of allotment, with the remaining ₹114.00 payable upon conversion to equity shares. The warrants can be converted in one or more tranches during the tenure period.

Regulatory Compliance and Payment Structure

The allotment was conducted in accordance with Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, and the Companies Act, 2013. The company confirmed receipt of all application money and forms from the 50 allottees as specified in the Notice of Extra-Ordinary General Meeting dated November 14, 2025, and its corrigendum dated December 05, 2025. The securities are subject to lock-in restrictions as prescribed under SEBI regulations.