AMJ LAND HOLDINGS LIMITED

Key Resolution Details

The Company seeks shareholder approval through remote e-voting for:

  • Continuation and modification of existing revolving Inter-Corporate Deposit(s)/Loan(s) arrangement with Biodegradable Products India Limited (BPIL)
  • Creation of joint mortgage security over BPIL's immovable property to secure the Company's ICD exposure
  • Transaction period: Five financial years from FY 2026-27 to FY 2030-31

Financial Parameters

  • Principal Amount Limit: Aggregate outstanding shall not exceed ₹40 Crores at any point in time
  • Interest Rate: 9% to 12% per annum as determined by the Board
  • Repayment Terms: Each ICD repayable within 6 years from disbursement date
  • Interest Payment: Annually within three months from financial year close
  • Overall Security Cap: ₹200 Crores collectively for all mortgagees (including principal, interest, costs, charges, expenses)

Security Arrangement

  • Property Details: Survey No. 298, Village Chande, Taluka Mulshi, District Pune, Maharashtra
  • Area: 92,800 square metres (approximately 22.93 acres)
  • Current Valuation: ₹152.81 Crores (Distress Value: ₹122.25 Crores) per valuation report dated 23rd July, 2026 by A. D. Joshi Chartered Engineers & Valuers LLP
  • Mortgage Type: Joint mortgage with pari passu ranking among lenders
  • Other Mortgagees: 3P Land Holdings Limited, Thacker and Company Limited, Chem Mach Private Limited, Suma Commercial Private Limited
  • Lead Mortgagee: AMJ Land Holdings Limited

Current Exposure Details (as of 30th June, 2026)

  • AMJ Land Holdings: Principal outstanding ₹1,132.62 lakhs, Interest accrued ₹26.11 lakhs
  • Other Related Party Lenders:
  • 3P Land Holdings Limited: ₹2,198.71 lakhs
  • Chem Mach Private Limited: ₹750.00 lakhs
  • Suma Commercial Private Limited: ₹250.00 lakhs
  • Thacker and Company Limited: ₹1,700.00 lakhs
  • Total other lenders: ₹4,898.71 lakhs

Corporate Governance Approvals

  • Audit Committee and Board of Directors approved the transaction on 19th September, 2026
  • Certificate from Whole-Time Director and CFO confirms transaction is at arm's length and in company's interest
  • Previous shareholder approvals obtained:
  • Section 186 approval via Postal Ballot (2014)
  • Section 185 approval at 55th AGM (2020)
  • Existing ICD arrangement approved at 61st AGM (2nd September, 2026)

BPIL Financial Profile (FY 2025-2026)

  • Turnover: ₹0.26 lakhs
  • Loss After Tax: ₹460.26 lakhs
  • Net Worth: Negative ₹3,020.52 lakhs
  • No defaults in borrowings during last three financial years
  • No NPA classification, wilful defaulter status, or insolvency proceedings

Voting Arrangements

  • Cut-off Date: 18th September, 2026
  • Remote e-voting Period: 23rd September, 2026 (09:00 AM IST) to 22nd October, 2026 (05:00 PM IST)
  • Service Provider: KFin Technologies Limited
  • Scrutinizer: Ms. Savita Jyoti, Practicing Company Secretary
  • Result Declaration: On or before 24th October, 2026

Material Significance

  • Transaction value represents 76.18% of AMJ's annual consolidated turnover
  • Represents 260.61% of BPIL's annual consolidated turnover
  • Security coverage ratio: 0.60 times at book value, 2.04 times at distress value
  • Funds sourced from internal accruals, no additional borrowing required

Purpose and Rationale

  • To meet working capital and operational requirements of BPIL
  • Enhance security for existing unsecured ICD exposure
  • BPIL holds valuable land asset with appreciation potential near Hinjewadi, Pune
  • Company holds 27.11% equity stake in BPIL