Mittal Sections Limited has completed its regulatory compliance process by submitting the resignation letter of its former Company Secretary to BSE Limited, addressing an inadvertent documentation oversight from the original announcement made on December 31, 2025.

BSE Submission and Compliance Update

On February 28, 2026, the company submitted additional documentation to BSE Limited following their request for complete details regarding the Company Secretary transition. Ajaykumar B. Mittal, Chairperson & Managing Director, acknowledged that the resignation letter was not included with the original corporate announcement due to an inadvertent oversight while uploading documents on the listing portal.

Leadership Transition Details

The Board of Directors accepted the resignation of Mr. Hirenkumar B. Patel from his position as Company Secretary & Compliance Officer during their meeting held on December 31, 2025. In his resignation letter dated December 31, 2025, Patel cited his pursuit of new career directions that align with his long-term goals and aspirations.

New Appointment

Following the Nomination and Remuneration Committee's recommendation, the Board of Directors approved the appointment of Ms. Gunjan Rameena as the new Company Secretary & Compliance Officer during the same board meeting on December 31, 2025.

Board Meeting and Regulatory Framework

The board meeting that approved these changes was conducted on December 31, 2025, commencing at 3:00 p.m. and concluding at 3:25 p.m. The decisions were made in accordance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring proper disclosure of key managerial personnel changes.

The company confirmed that Ms. Gunjan Rameena is not debarred from holding office by any SEBI order or other regulatory authority, ensuring her eligibility for the compliance officer position. The transition represents the company's commitment to maintaining strong corporate governance standards while ensuring full regulatory compliance.

Mittal Sections Limited has submitted its monitoring agency report for the quarter ended December 31, 2025, revealing a minor deviation in the utilization of funds raised through its SME Initial Public Offer. CARE Ratings Limited, serving as the monitoring agency, identified a deviation of less than 10% from the objects disclosed in the offer document.

IPO Details and Fund Deployment

The company successfully raised ₹52.91 crore through its SME IPO conducted from October 07-09, 2025. During Q3FY26, the company utilized ₹37.16 crore across various stated objectives, leaving ₹15.75 crore unutilized as of December 31, 2025.

Fund Utilization Breakdown

The monitoring agency report provides detailed insights into how the IPO proceeds were deployed across different objectives during the quarter.

Identified Deviation and Concerns

CARE Ratings identified an excess utilization of ₹0.29 crore towards working capital requirements, creating a negative balance in this category. The deviation arose due to differences in interpretation between the monitoring agency and company management regarding fund utilization tracking in the cash credit account.

The monitoring agency noted several concerns:

• Comingling of funds in the cash credit account with numerous debits and credits
• Reliance on company declarations and CA certificates for fund utilization verification
• Timing differences in cheque clearances affecting quarter-end reporting

Deployment of Unutilized Proceeds

The company has deployed the unutilized proceeds of ₹15.75 crore primarily in fixed deposits with City Union Bank Limited. These deposits carry interest rates ranging from 5.25% to 6.75% with varying maturity dates from January 2026 to October 2026. Additionally, ₹0.25 crore remains as closing balance in the escrow account.

Capital Expenditure Progress

During Q3FY26, the company utilized ₹4.78 crore towards capital expenditure, comprising ₹1.78 crore for machinery purchases and ₹3.00 crore for land acquisition. The company issued cheques worth ₹0.55 crore to vendors on December 29 and 31, 2025, which were cleared in January 2026, creating timing differences in the quarterly reporting.

Market Performance and Outlook

The monitoring agency report highlighted that the company's share price has declined by approximately 75% from its listing price as of February 11, 2026. The company's management attributed this decline to general market conditions and investor sentiment, factors beyond their control.

The report confirms that all objects remain on track for completion within FY26 as per the original timeline disclosed in the offer document. The monitoring agency will continue to track the utilization of remaining proceeds in subsequent quarters.