Kalpataru Projects International has announced that its UAE branch has been subjected to a fine of AED 284,000 by UAE authorities. This regulatory penalty affects the company's operations in the United Arab Emirates, where it conducts infrastructure development activities.

Regulatory Penalty Details

The fine imposed on Kalpataru Projects International's UAE branch amounts to AED 284,000. The company has disclosed this regulatory action, which impacts its Middle East operations.

Impact on Operations

This penalty represents a compliance-related development for Kalpataru Projects International's international business operations. The fine specifically targets the company's UAE branch, which forms part of its broader Middle East presence in the infrastructure development sector.

The disclosure of this regulatory action demonstrates the company's commitment to transparency regarding material developments affecting its overseas operations. Such regulatory penalties may impact operational procedures and compliance frameworks for international branches of Indian infrastructure companies operating in the UAE market.

Kalpataru Projects International promoter group member Sunita Vijay Choraria has created a pledge on 1,50,000 equity shares of the company, as disclosed in a regulatory filing dated December 10, 2025. The pledge creation follows the Securities Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.

Pledge Details and Valuation

The pledge was created on December 8, 2025, with the shares valued at ₹17.33 crores based on the last traded market price on the date of the event. The pledged shares represent a small fraction of the company's total share capital.

Promoter Shareholding Impact

Sunita Choraria holds a significant stake in Kalpataru Projects International, with her total promoter shareholding standing at 5,73,27,687 shares as of September 30, 2025. This represents 33.57% of the company's total share capital.

Loan Facility and Purpose

The pledge has been created against a total sanctioned loan-against-securities facility of ₹40 crores extended by Tata Capital Limited to Priyanka Finance Private Limited. The loan amount will not exceed 50% of the value of pledged shares and will be disbursed to the borrower for general corporate purposes.

Regulatory Compliance

The disclosure has been made pursuant to Regulation 31(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, and SEBI circular No. SEBI/HO/CFD/DCR1/CIR/P/2019/90 dated August 7, 2019. The company's shares are listed on both the National Stock Exchange of India Limited (NSE: KPIL) and BSE Limited (BSE: 522287).

The pledge creation represents a standard corporate financing arrangement where promoter shares serve as collateral for loan facilities. The encumbered shares remain below the 50% threshold of promoter shareholding and constitute less than 20% of the total share capital, indicating a manageable level of encumbrance.