Sona BLW Shareholders Approve Performance Share Plan 2025 for Managing Director

Sona BLW Precision Forgings Limited has successfully secured shareholder approval for its Performance Share Plan 2025 (PSP 2025) for Managing Director and Group CEO Vivek Vikram Singh. The special resolution was passed through postal ballot voting, with results announced on December 20, 2025.

Postal Ballot Results

The company conducted the voting process through remote e-voting from November 20, 2025, to December 19, 2025. The scrutinizer report confirms that the special resolution received the requisite majority from shareholders.

Voting Details:	Results
Resolution Type:	Special Resolution
Voting Method:	Remote e-voting through NSDL
Voting Period:	November 20 - December 19, 2025
Outcome:	Passed with requisite consent
Scrutinizer:	Nitesh Latwal, PI Associates

Key Details of the Performance Share Plan 2025

The approved PSP 2025 aims to address the current below-market compensation of Mr. Singh, which was revealed in a recent benchmarking study. The plan includes:

Plan Parameters:	Details
Total Shares:	Up to 1.50 million equity shares over 5 years
Eligibility:	Exclusively for Vivek Vikram Singh, MD & Group CEO
Performance Metric:	Based on year-on-year growth in consolidated EBITDA
Implementation Period:	Financial Years 2025-26 to 2029-30
Lock-in Period:	1 year from allotment date for each tranche

Compensation Benchmarking Results

An independent professional firm conducted a compensation benchmarking study, which revealed a significant disparity:

Metric:	Industry Average	Current Compensation
% of PAT:	2.91%	0.57%

This disparity prompted the Board to take action to bring Mr. Singh's compensation in line with industry standards.

Performance-Based Share Allocation

The number of shares to be offered each year will be determined by the company's EBITDA growth:

Y-o-Y Consolidated EBITDA Growth:	Number of Shares Offered
<5%:	0
5%:	100,000
>5% but <35%:	100,000 + 8,333 shares per % growth above 5%
35% or more:	350,000

Company Performance Under Singh's Leadership

Since Mr. Singh's appointment as MD and Group CEO in 2019, Sona BLW Precision Forgings has demonstrated strong growth:

Performance Metric:	Growth Rate
Revenue Growth:	31%
Profit After Tax Growth:	35%

Regulatory Compliance

The PSP 2025 adheres to all regulatory requirements, being compliant with SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. The total remuneration, including PSP 2025, will remain within the 5% limit of net profits as per Companies Act, 2013.

With shareholder approval now secured, Sona BLW Precision Forgings can proceed with implementing the performance share plan, demonstrating the company's commitment to retaining top talent and aligning executive compensation with company performance and shareholder interests.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.04%	+0.69%	-3.46%	+2.29%	-16.41%	+35.19%

Sona BLW Precision Forgings Ltd (SONACOMS) is exhibiting technical indicators that suggest a possible reversal of its multi-month downtrend, which has persisted for over a year. The stock has experienced a significant decline from Rs. 760 in September to lows near Rs. 370 in April. However, recent months have seen the stock forming a base, indicating a potential shift in its trajectory.

Technical Indicators

Several technical indicators are pointing towards a possible trend reversal:

Moving Averages: The stock is currently trading above all key moving averages, a positive sign for its short-term performance.
Support Levels: SONACOMS has taken support at its 200-day moving average, which is often considered a significant long-term trend indicator.
MACD: The daily Moving Average Convergence Divergence (MACD) remains bullish, suggesting positive momentum.
RSI: The Relative Strength Index (RSI) has formed a fresh 14-period high, indicating increasing buying pressure.
Relative Strength: The relative strength line against the Nifty 500 has reversed higher, suggesting outperformance compared to the broader market.
On-Balance Volume: This indicator has reached new highs, signaling strong volume participation, which often precedes price movements.

Potential Scenarios

Based on the current technical setup, two potential scenarios emerge:

Bullish Case: A move higher could take the stock to Rs. 520, representing a significant upside from current levels.
Bearish Case: A close below Rs. 475 would negate the current technical setup, potentially leading to further downside.

Investors and traders are advised to closely monitor these levels and conduct their own research before making any investment decisions. It's important to note that technical analysis is just one aspect of stock evaluation, and fundamental factors should also be considered for a comprehensive analysis.