The application seeks sanction for the proposed reduction of share capital pursuant to Section 66 read with Section 52 of the Companies Act, 2013 and the National Company Law Tribunal (Procedure for Reduction of Share Capital of Company) Rules, 2016.
Details of Proposed Capital Reduction
- Amount to be utilized: ₹385,61,76,525 (INR 385.62 crore)
- Source account: Securities Premium Account
- Current balance in Securities Premium Account: ₹798,22,14,923 (INR 798.22 crore)
- Purpose: To fully set off the Accumulated Losses of the Company amounting to ₹385,61,76,525 as on March 31, 2026
Financial Impact and Rationale
The proposed reduction will eliminate accumulated losses from the company's books of account and present a true and fair view of its financial position. The action is intended to rationalize the company's Balance Sheet.
Additional Information
The disclosure was signed by Punam Dargar, Company Secretary & Compliance Officer (Mem. No.: A56987) on behalf of Smartworks Coworking Spaces Limited.