TIL Limited
Background and Event Details
The forfeiture action pertains to a recent Rights Issue. The Company had allotted 1,20,91,760 partly paid-up Rights Equity Shares on 9th April 2026, following a Letter of Offer dated 20th March 2026.
A first and final call money of ₹41.25 per Rights Equity Share was due from the holders of these shares. This call comprised ₹2.50 towards the face value and ₹38.75 towards the premium.
The Company issued a series of notices to shareholders to collect the outstanding call money:
- First and final call money notice: dated 5th June 2026
- First reminder notice: dated 15th July 2026
- Second reminder-cum-forfeiture notice: dated 18th August 2026
These notices explicitly stated that non-payment would result in the forfeiture of the partly paid-up shares, including any application money already paid.
Board Approval and Forfeiture Action
Despite the notices, the first and final call money for 65,323 partly paid-up Rights Equity Shares remained unpaid.
The Board of Directors of TIL Limited, at its meeting held on 14th November 2026, considered and approved the forfeiture of these 65,323 shares.
The forfeiture is executed in accordance with:
- The provisions of the Companies Act, 2013
- The Articles of Association of the Company
- The terms of the Letter of Offer for the Rights Issue
Financial Impact
The forfeiture results in the following financial consequences for the holders of the 65,323 shares:
- Loss of the unpaid first and final call amount of ₹41.25 per share.
- Loss of the application money of ₹123.75 per share that had already been paid to the Company.
The notice of forfeiture will be issued to the affected shareholders in due course.
Future Action Regarding Forfeited Shares
The Board of Directors has further decided that the Company will not re-issue the forfeited shares to anybody.