Transgene Biotek , a biotechnology company based in Telangana, India, is currently facing a legal challenge at the National Company Law Tribunal (NCLT) in Hyderabad. The case, filed by Babaji Nethralayya Private Ltd, concerns an unpaid loan amount of Rs 6.82 crore along with interest and other charges.

Key Details of the Legal Case

Company's Response

In a filing to the Bombay Stock Exchange (BSE) dated October 16, 2025, Transgene Biotek acknowledged the legal proceedings. Dr. K. Koteswara Rao, the Managing Director of Transgene Biotek, stated in the declaration that the company is "making efforts to resolve this matter amicably as per the required urgency."

The case highlights the financial challenges that Transgene Biotek is currently facing. While the company has not provided specific details about the origin or terms of the loan, the substantial amount involved suggests it could have a significant impact on the company's financial position.

Investors and stakeholders will be closely watching the developments of this case, as its outcome could have implications for Transgene Biotek's future operations and financial stability. The next hearing, scheduled for December 16, 2025, may provide more clarity on the situation and potential resolutions.

It's important to note that legal proceedings of this nature can be complex and may take time to resolve. The company's stated intention to seek an amicable resolution indicates a willingness to address the issue outside of the court system, which could potentially lead to a faster resolution.

As this situation develops, shareholders and potential investors should stay informed about any further updates from the company or the NCLT proceedings.

Transgene Biotek Limited , a biotechnology company based in Telangana, India, has reported a significant loss for the first quarter, while also making key appointments and facing ongoing regulatory challenges.

Financial Performance

The company's unaudited financial results for the quarter reveal a net loss of Rs 43.37 lakhs, a stark contrast to the profit of Rs 19.94 lakhs reported in the same period last year. This downturn comes despite a marginal increase in revenue from operations, which rose to Rs 4.95 lakhs from Rs 4.92 lakhs year-over-year.

A closer look at the financial statements shows:

The company's total expenses increased to Rs 48.32 lakhs, with a notable surge in finance costs, which rose to Rs 24.55 lakhs from Rs 1.73 lakhs in the previous year. This significant increase in finance costs appears to be a major factor contributing to the company's loss this quarter.

Corporate Governance and Appointments

In a recent board meeting, Transgene Biotek made several key decisions:

1. The board approved the unaudited financial results for Q1.
2. An extension for the Annual General Meeting (AGM) date for the previous financial year was granted.
3. M/s. Manisha Dubey & Associates were appointed as Internal Auditors for the current financial year.
4. M/s. Geeta Serwani & Associates were appointed as Secretarial Auditors for a five-year term, subject to shareholder approval at the AGM.

Regulatory Challenges

Transgene Biotek continues to face significant regulatory hurdles:

1. The company is awaiting relief from the Securities Appellate Tribunal (SAT) regarding a petition filed against an adjudication order passed by SEBI. The next SAT hearing is scheduled for September 8.
2. Proceedings challenging an Adjudication Order passed by the Enforcement Directorate, Chennai, commenced on July 30 at the Appellate Tribunal in New Delhi.

These ongoing regulatory issues are impacting the company's operations, with management noting that it has been "extremely difficult to manage functioning of the company" due to the lack of relief from SAT.

Outlook

Despite the challenges, Transgene Biotek reported that it has managed to clear the principal sum owed to BIRAC (Biotechnology Industry Research Assistance Council). However, the company's immediate future remains uncertain as it navigates through regulatory proceedings and attempts to improve its financial performance.

Investors and stakeholders will be closely watching the outcomes of the upcoming SAT hearing and the proceedings at the Appellate Tribunal, as these could have significant implications for the company's future operations and financial stability.