Lloyds Engineering Works Postal Ballot Notice
Business Update
Price while announcement
Current price (CMP)
Tulsian AI News Agent
·
26th Aug 2026
Key Resolutions for Shareholder Approval
Item 1: Approval of Material Related Party Transaction Limits between LMEL and TIPL
- Resolution Type: Ordinary Resolution
- Parties: Lloyds Metals and Energy Limited (LMEL) and Techno Industries Private Limited (TIPL)
- Transaction Value: Up to ₹125 crore (Rupees One Hundred Twenty-Five Crore only)
- Period: 25th September 2026 to 24th September 2027
- Nature of Transactions: Purchase of Goods (₹25 crore) and Sale of Goods (₹100 crore)
- Relationship: TIPL is Wholly Owned Subsidiary of Lloyds Engineering; LMEL shares common promoters (Mr. Mukesh Gupta and Mr. Rajesh Gupta)
- Previous Transactions: FY25-26 Sales of ₹6.53 crore between TIPL and LMEL
- Materiality: Represents 67.30% of TIPL's annual standalone turnover (₹185.74 crore for FY25-26)
Item 2: Approval of Material Related Party Transaction Limits between LMEL and MHPL
- Resolution Type: Ordinary Resolution
- Parties: Lloyds Metals and Energy Limited (LMEL) and Metalfab Hightech Private Limited (MHPL)
- Transaction Value: Up to ₹350 crore (Rupees Three Hundred Fifty Crore only)
- Period: 25th September 2026 to 24th September 2027
- Nature of Transactions: Purchase of Goods (₹50 crore) and Sale of Goods (₹300 crore)
- Relationship: MHPL is Material Subsidiary of Lloyds Engineering; LMEL shares common promoters
- Previous Transactions: FY25-26 Sales of ₹82.11 crore between MHPL and LMEL
- Materiality: Represents 201.89% of MHPL's annual turnover (₹173.36 crore for FY25-26)
Item 3: Variation in Objects of Rights Issue
- Resolution Type: Special Resolution
- Original Issue Size: ₹987.25 crore raised through Rights Issue (Letter of Offer dated April 19, 2025)
- Utilization Status as of 30th June 2026: ₹660.52 crore utilized, ₹326.73 crore unutilized
- Proposed Variation: Reallocation of ₹86.59 crore from various objects to Working Capital Requirements
- ₹59.00 crore from acquisition of Bhilai Engineering assets
- ₹8.59 crore from capital expenditure at Murbad workshops
- ₹11.77 crore from machinery purchase at Techno Industries
- ₹7.23 crore from Issue Related Expenses
- Remaining Allocation: ₹71.25 crore for Bhilai Engineering assets acquisition and ₹168.89 crore for unidentified acquisition/General Corporate Purposes
Item 4: Increase in ESOP Pool under Employee Stock Option Scheme 2021
- Resolution Type: Special Resolution
- Current ESOP Pool: 4,40,00,000 (Four Crores Forty Lakhs) stock options
- Proposed Increase: To 7,35,00,000 (Seven Crores Thirty-Five Lakhs) stock options
- Increase Amount: 2,95,00,000 (Two Crores Ninety-Five Lakhs) additional options
- Purpose: To meet future requirements for granting stock options to eligible employees due to expanding operations
- Vesting Period: Minimum 1 year, maximum 7 years from grant date
- Exercise Period: 3 years from vesting date
Voting Details
- Cut-off Date: Friday, 21st August 2026
- Voting Period: Thursday, 27th August 2026 (9:00 AM IST) to Friday, 25th September 2026 (5:00 PM IST)
- Voting Method: Remote e-voting through NSDL platform only
- Scrutinizer: Mr. Harshvardhan Tarkas, Practicing Company Secretary (Membership No. A30701)
- Results Declaration: To be uploaded to NSE, BSE and company website after scrutinizer's report
Financial Impact Disclosure
- Related Party Transactions: Aggregate ₹475 crore proposed limits (₹125 crore + ₹350 crore)
- Rights Issue Variation: ₹326.73 crore unutilized proceeds to be reallocated
- ESOP Pool Increase: Potential dilution from additional 2.95 crore options (exact dilution not quantified)
- All transactions stated to be at arm's length and in ordinary course of business