Natural Capsules Limited , a prominent player in the pharmaceutical industry, has made significant announcements regarding leadership changes and developments at its material subsidiary that reflect evolving corporate dynamics.

Rights Issue Cancellation by Material Subsidiary

In a significant development, Natural Biogenex Private Limited, the material subsidiary of Natural Capsules Limited, has decided not to proceed with its previously approved rights issue. The Board of Directors of Natural Biogenex Private Limited made this decision in their meeting held on January 03, 2026, citing non-subscription by the major shareholder as the primary reason.

The cancelled rights issue details were as follows:

This decision was communicated to the stock exchanges under Regulation 30(9) of SEBI (LODR) Regulations, 2015, with reference to the company's earlier intimation dated September 30, 2025, when the rights issue was initially approved.

Chief Operating Officer Retirement

Natural Capsules Limited has also disclosed the upcoming retirement of Mr. MVN Kutty, the company's Chief Operating Officer (COO). The retirement is due to superannuation and will be effective from the close of business hours on September 30, 2025.

Regulatory Compliance and Communication

Both announcements were made by Pranjal Deshmukh, the Company Secretary & Compliance Officer of Natural Capsules Limited, ensuring full compliance with regulatory requirements. The cancellation of the rights issue represents a notable shift from the subsidiary's earlier capital raising plans, potentially impacting the group's expansion and investment strategies.

The decision not to proceed with the rights issue due to lack of support from the major shareholder highlights the importance of stakeholder alignment in corporate financing decisions. This development may require Natural Biogenex Private Limited to explore alternative funding mechanisms for its growth initiatives.

Natural Capsules Limited has received a temporary closure order from the Department of Drug Controller for its Pondicherry manufacturing plant on December 26, 2025. The pharmaceutical company disclosed this regulatory action to stock exchanges under SEBI listing regulations.

Regulatory Action Details

The Department of Drug Controller issued the temporary closure direction following an alleged violation by the company. According to the disclosure, Natural Capsules Limited supplied materials to a customer whose drug license had expired, constituting a regulatory contravention.

Company Response and Next Steps

The company has acknowledged the regulatory order and is taking immediate corrective measures. Natural Capsules Limited stated it will submit all relevant documents to the Department of Drug Controller for revocation of the closure direction at the earliest possible time.

The management has committed to keeping stock exchanges informed of any material developments relating to this matter as they occur.

Financial and Operational Impact

The temporary closure affects the operations of the Pondicherry manufacturing plant. However, the company has indicated that the financial impact of this closure is yet to be ascertained. The duration of the temporary closure will depend on the regulatory review process and the company's compliance with corrective measures.

Regulatory Compliance

This disclosure was made pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company provided detailed information as required under the regulatory framework, ensuring transparency with stakeholders regarding this material development.