Shree Rama Newsprint & Papers , a key player in the paper industry, has received a significant legal reprieve in its ongoing dispute with the Collector of Surat. The company announced that it has been granted a permanent stay on an order issued by the Collector Surat, marking a crucial development in the case.

Key Details of the Stay Order

Implications and Next Steps

The permanent stay, granted by the Appellate Authority, effectively suspends the implementation of the Collector Surat's order until the final resolution of the appeal. This development provides Shree Rama Newsprint with temporary relief and allows the company to continue its operations without immediate impact from the disputed order.

Shree Rama Newsprint had previously challenged the Collector's order before the Appellate Authority, demonstrating its commitment to pursuing legal recourse in this matter. The company has stated that it will continue to update the stock exchanges on any material developments related to this case, maintaining transparency with its stakeholders.

Background of the Dispute

While the specific details of the original order by the Collector Surat have not been disclosed, the granting of a permanent stay suggests that the matter is of significant importance to the company's operations. The timeline of events indicates that Shree Rama Newsprint has been actively engaged in this legal process since at least May 2025.

Market Implications

Investors and market watchers may be keeping a close eye on how this legal development might affect Shree Rama Newsprint's business operations and financial performance in the coming months. The resolution of this appeal could have potential implications for the company's future strategies and market position.

As the situation continues to evolve, stakeholders are advised to stay tuned for further updates from the company. Shree Rama Newsprint's proactive approach in challenging the order and securing a stay demonstrates its commitment to protecting its interests and those of its shareholders.

The final outcome of this legal process remains to be seen, and its impact on the company's long-term prospects will become clearer as the appeal progresses through the legal system.

Shree Rama Newsprint & Papers has successfully redeemed the first installment of its unlisted, secured, zero-coupon, non-convertible debentures (ZCDs) issued to Bank of India and Punjab National Bank. This redemption is part of a Joint Lender Forum (JLF) approved plan that requires the debentures to be redeemed in three equal annual installments.

Redemption Details

The company has made payments totaling Rs. 14.125 crore as part of this first installment:

Each debenture has a face value of Rs. 1,000, and this redemption marks the beginning of the repayment schedule, which commenced at the end of the 10th year from the issuance of the ZCDs.

Compliance with Regulatory Requirements

In compliance with Regulation 30 read with Schedule III of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, Shree Rama Newsprint & Papers has duly informed the stock exchanges about this partial redemption. The company's Company Secretary, Shubham Ajmera, filed the intimation with both the BSE Limited and the National Stock Exchange of India Limited.

Future Redemptions

As per the JLF approved plan, the remaining two installments of the ZCDs are scheduled to be redeemed in equal annual installments over the next two years. This structured redemption plan demonstrates the company's commitment to meeting its debt obligations and adhering to the agreed-upon financial restructuring terms.

The timely redemption of these debentures is a positive sign for Shree Rama Newsprint & Papers' financial management and its ability to honor its commitments to lenders. Investors and stakeholders will likely keep a close eye on the company's performance and its ability to meet the upcoming installments in the following years.