NELCO Limited has announced the appointment of Protiviti India Member Private Limited as its internal auditor for a three-year term, marking a significant step in strengthening the company's audit and governance framework. The decision was approved by the Board of Directors during their meeting held on February 21, 2026, following a recommendation from the Audit Committee.

Appointment Details

The board meeting, which commenced at 10:30 a.m. and concluded at 5:10 p.m., formally approved the engagement of Protiviti India Member Private Limited as the internal auditor for three consecutive years starting from FY 2026-27. The appointment was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

About Protiviti India

Protiviti is a global consulting firm that brings extensive expertise to NELCO's internal audit function. The firm delivers deep expertise, objective insights, and tailored approaches to help leaders confidently face future challenges. Protiviti and its independent and locally owned member firms provide clients with comprehensive consulting and managed solutions across multiple domains.

The firm's service portfolio includes:

• Finance and operations consulting
• Technology and digital solutions
• Data analytics and insights
• Legal and HR advisory
• Risk management and internal audit services

Protiviti operates through a network of more than 90 offices spanning over 25 countries, providing global reach with local expertise.

Regulatory Compliance

The appointment disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has also complied with the requirements under SEBI Master Circular No. SEBI/HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. All relevant information has been made available on the company's website at www.nelco.in .

The appointment represents NELCO's continued focus on maintaining robust internal controls and governance standards, ensuring compliance with regulatory requirements while enhancing operational efficiency through professional audit services.

NELCO has encountered a regulatory setback as the Department of Telecommunications (DOT) has rejected the company's application for a satellite communication license. This decision marks a significant development for the company's satellite communication aspirations.

Regulatory Decision Impact

The rejection by the DOT represents a notable hurdle for NELCO's satellite communication plans. The Department of Telecommunications serves as the primary regulatory authority for telecommunications and satellite communication services in India, making its approval essential for companies seeking to operate in this sector.

Strategic Implications

This regulatory setback will likely require NELCO to reassess its approach to entering or expanding its presence in the satellite communication market. The company may need to address specific concerns raised by the DOT or modify its application to meet regulatory requirements before pursuing future licensing attempts.

The satellite communication sector has been gaining increased attention as companies look to capitalize on growing demand for satellite-based services. However, regulatory compliance remains a critical factor for success in this highly regulated industry.

Next Steps

Following this rejection, NELCO will need to evaluate its options, which may include addressing the regulatory concerns that led to the application's rejection or exploring alternative approaches to its satellite communication strategy. The company's response to this setback will be crucial in determining its future prospects in the satellite communication sector.