Ganesha Ecosphere , a leading recycled polyester staple fiber manufacturer, recently underwent a GST inspection at its Rampur facility in Uttar Pradesh. The company has reported that the inspection, which took place on July 17, concluded without any significant findings or disruptions to its operations.

Inspection Details

According to a disclosure made by the company under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the inspection was initiated by the Office of Additional Commissioner, Central Tax and GST, Commissionerate Meerut, Uttar Pradesh. The search operation was conducted at the company's factory unit located at GATA No. 112, Village Temra, Bilaspur, District Rampur, Uttar Pradesh.

Key Points from the Inspection

• The inspection was carried out based on a Search Authorization dated July 16.
• The search concluded on July 18.
• As per the search panchnama, no untoward incidents or behavioral issues were reported.
• No original documents were seized during the inspection.
• No official document was issued regarding any adverse findings.

Company's Statement

Ganesha Ecosphere has stated that they do not expect any impact on the company's financial position, operations, or other activities as a result of this inspection. The company's management has emphasized that normal business operations continued throughout the inspection process.

Additional Corporate Update

In a separate disclosure, it was reported that GPL Finance Limited, a promoter entity of Ganesha Ecosphere, has created a pledge on 10,25,000 equity shares of the company. This pledge, representing approximately 4.03% of the total share capital, was created on July 16, in favor of Axis Trustee Services Limited. The reason cited for the encumbrance was to provide collateral for loans taken to fund the conversion of equity warrants.

Conclusion

The swift conclusion of the GST inspection without any reported issues or document seizures is likely to be viewed positively by investors and stakeholders. Ganesha Ecosphere continues to operate normally, with no anticipated negative consequences from this regulatory visit. The company's proactive disclosure of both the GST inspection and the share pledge by a promoter entity demonstrates its commitment to transparency in its dealings with regulatory authorities and shareholders.

Ganesha Ecosphere Limited , a leading recycled polyester staple fiber manufacturer, has announced the completion of a significant financial transaction involving the conversion of warrants into equity shares for a promoter group entity.

Warrant Conversion Details

The company's Capital Raising Committee approved the allotment of 13,39,000 fully paid-up equity shares, each with a face value of ₹10, at an issue price of ₹1,035 per share. This includes a premium of ₹1,025 per share. The total value of the issued equity shares amounts to ₹103.93 crore.

Transaction Specifics

• Allottee: GPL Finance Limited (a member of the Promoter Group)
• Issue Price: ₹1,035 per equity share
• Total Shares Allotted: 13,39,000
• Total Transaction Value: ₹103,93,27,500

Impact on Shareholding

The conversion of warrants has significantly increased GPL Finance Limited's stake in Ganesha Ecosphere. Here's a breakdown of the changes:

Capital Structure Update

Following this allotment, Ganesha Ecosphere's paid-up equity share capital has increased:

• Previous: ₹25.46 crore (2,54,56,984 equity shares)
• Current: ₹26.80 crore (2,67,95,984 equity shares)

Warrant Conversion Completion

This allotment marks the final conversion of the 14,49,000 convertible equity warrants initially allotted on January 18, 2024. The company had previously converted 1,10,000 warrants into equity shares on March 31, 2025.

The newly allotted shares will rank pari-passu with the existing equity shares of the company in all respects, including dividend entitlement.

This transaction strengthens the promoter group's position in Ganesha Ecosphere and provides additional capital for the company's operations and growth initiatives.