Nitin Spinners Limited has issued a postal ballot notice to shareholders seeking approval for special resolutions that would significantly enhance the company's borrowing capacity and financial flexibility. The textile manufacturer is proposing to increase its borrowing authorization from Rs 2000 crores to Rs 3000 crores, representing a substantial expansion in its financial framework.

Postal Ballot Details and Timeline

The company has structured the postal ballot process with specific timelines for shareholder participation:

Shareholders whose names appear in the Register of Members as on the cut-off date of February 6, 2026 will be eligible to participate in the voting process through the remote e-voting system provided by National Securities Depository Limited (NSDL).

Special Resolutions Under Consideration

The postal ballot encompasses two interconnected special resolutions designed to enhance the company's financial capabilities:

The first resolution seeks to supersede the previous authorization granted at the 32nd Annual General Meeting held on September 16, 2024, expanding the borrowing limit to Rs 3000 crores. The second resolution provides corresponding authorization for creating mortgages and charges on company assets to secure the enhanced borrowing capacity.

Business Rationale and Strategic Context

According to the explanatory statement, the increased borrowing authorization is necessitated by the company's solar power project and potential future expansion initiatives. The company has identified the need for additional borrowings to support these strategic developments, requiring revision of existing borrowing limits.

The proposed borrowing framework allows the Board of Directors to:

• Borrow funds on terms and conditions as deemed appropriate
• Secure borrowings through mortgage and charge creation on movable and immovable properties
• Access both fund-based and non-fund-based facilities
• Maintain flexibility in structuring financial arrangements with lenders

Governance and Compliance Framework

The company has appointed CS Manoj Maheshwari (FCS: 3355) as the Scrutinizer, with CS Priyanka Agarwal (FCS: 11138) serving as Alternate Scrutinizer from V.M & Associates to ensure fair and transparent conduct of the postal ballot process. The voting process will be conducted entirely through electronic means, with no physical postal ballot forms being distributed to shareholders.

The resolutions require approval under Sections 180(1)(c) and 180(1)(a) of the Companies Act, 2013, as the proposed borrowing limits may exceed the aggregate of the company's paid-up capital, securities premium, and free reserves. The Board has confirmed that no Directors, Key Managerial Personnel, or their relatives have any financial interest in the proposed resolutions.

Nitin Spinners Limited has submitted its investor presentation on Q3FY26 financial results to BSE Limited and National Stock Exchange of India Limited on February 2, 2026, in compliance with Regulation 30 of SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015.

Regulatory Submission Details

Company Secretary & VP (Legal) Sudhir Garg (M.No. ACS 9684) signed the compliance document confirming the submission of the investor presentation covering financial results for the quarter and nine months ended December 31, 2025. The presentation is also available on the company's website at www.nitinspinners.com .

Q3FY26 Performance Highlights

According to the investor presentation, the textile manufacturer reported strong quarterly performance with revenue of ₹800.7 crores, representing a 5.3% quarter-on-quarter growth. EBITDA increased by 12.0% QoQ to ₹111.5 crores, while profit after tax surged 27.7% QoQ to ₹44.4 crores. Basic earnings per share stood at ₹7.9 for the quarter.

Nine Months FY26 Results

For the nine months ended December 31, 2025, total revenue reached ₹2,354.08 crores with EBITDA of ₹322.35 crores and net profit after tax of ₹120.18 crores. The company maintained an EBITDA margin of 13.69% and PAT margin of 5.11% for the nine-month period.

Management Commentary and Outlook

Chairman and Managing Director Dinesh Nolkha highlighted that Q3 performance improved against the previous quarter, driven by stable demand, favourable cotton prices and optimum capacity utilization. The company remains focused on enhancing operational efficiencies, strengthening client engagement, and expanding value-added offerings to drive sustainable growth.

Capacity Expansion Plans

The presentation outlined the company's ongoing capacity expansion of 22,400 MTPA in spinning and 35 million metres per annum in weaving & finishing fabric, with a total project cost of approximately ₹1,120 crores. Additionally, the company is expanding its renewable energy capacity with 9.2 MW solar power and has signed agreements for 18 MW hybrid power under group captive model.