Pidilite Industries Limited has informed stock exchanges about receiving GST penalty orders from tax authorities, totaling ₹42.31 lakh for two financial years. The company disclosed this development through a regulatory filing under SEBI regulations on March 9, 2026.

GST Penalty Details

The company received Orders-in-Appeal dated March 5, 2026, which were received on the GST Portal on the same date from the Deputy Commissioner of State Tax, Appeal, MUM-APP-E-0401, Mazgaon Division Nodal-04, Mumbai. The penalties were imposed under applicable provisions of the Central Goods and Services Tax Act.

Company's Response and Next Steps

Pidilite Industries has clarified that the orders are appealable and the company is currently reviewing them to evaluate the next steps in the matter. The company stated it will make an assessment to exercise its right to appeal to the highest authority as permitted in law.

The company has emphasized that there is no material impact on its financials, operations, or other activities resulting from these penalty orders.

Regulatory Compliance

The disclosure was made under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company filed the intimation at the earliest opportunity upon examining the orders and ascertaining full facts. The information has also been hosted on the company's website at www.pidilite.com for public access.

Pidilite industries has completed the allotment of 52,256 equity shares to eligible employees under its Employee Stock Option Plan-2016 (ESOP-2016) scheme. The allotment was approved by the ESOP Allotment Committee-2016 of the Board of Directors during its meeting held on March 4, 2026.

Share Allotment Details

The company allotted equity shares with specific terms and conditions as outlined below:

The shares were allotted to eligible employees of the company who exercised their stock options under the ESOP-2016 scheme. These newly allotted shares will rank pari passu in all respects with the existing equity shares of the company, ensuring equal rights and benefits for all shareholders.

Impact on Share Capital

The allotment has resulted in an increase in the company's total share capital:

Regulatory Compliance

The allotment was conducted in accordance with the terms of the ESOP-2016 Scheme and in compliance with the provisions of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has informed both BSE Limited and National Stock Exchange of India Limited about this corporate action as per regulatory requirements.

The ESOP allotment reflects the company's commitment to employee participation in its growth story through equity ownership. The exercise of stock options by eligible employees demonstrates confidence in the company's long-term prospects and aligns employee interests with shareholder value creation.