Financial Performance
Prag Bosimi Synthetics Limited reported a standalone net loss of ₹1080.43 lakhs for FY26 (compared to ₹1118.96 lakhs loss in FY25) with negative net worth of ₹334.26 crores. Consolidated net loss stood at ₹108.05 million. The company reported minimal revenue from operations of ₹3.164 million, primarily from sale of products, while other income was ₹15.110 million from brokerage/commission and liabilities written back.
Operational Status
Operations remain suspended since March 23, 2020, due to COVID-19 lockdown, subsequent worker strikes, and power disconnection by Assam Power Distribution Company Limited. The company has settled with workers through a Golden Handshake Scheme and is negotiating power reconnection. Minor maintenance has started for phased restart, and a 5 megawatt solar power unit is in final setup stages.
Capital Structure & Assets
Authorized capital is ₹250 crores with paid-up capital of ₹90.153 crores. Property, plant and equipment net carrying amount is ₹1,591.991 million. Capital work in progress of ₹325.981 million relates to a stalled textile park project under the Scheme for Integrated Textile Park, which is 80% complete with pending government grant applications delayed by 101 months.
Contingent Liabilities & Debt Position
Total contingent liabilities not provided for amount to ₹3113.32 lakhs, including disputed tax demands (₹112.34 lakhs income tax, ₹19.76 lakhs GST), PF demands, and various claims. The company holds Optionally Cumulative Convertible Debentures of ₹54 crores with interest unpaid since April 2019, and is pursuing holders for interest waiver.
Related Party Transactions
Significant transactions include ₹33.72 crore loans from private promoter Devang Vyas at 4% interest (no interest charged/paid), ₹6.99 crore advances to associate Prag Jyoti Textile Park, and various other related party payables totaling ₹85.07 crores. Outstanding balances include ₹33.07 crores with Devang Vyas and ₹7.62 crores with Prag Jyoti Textile Park.
Corporate Governance
The 34th AGM will be held virtually on September 25, 2026, to adopt financial statements and approve resolutions including appointment/re-appointment of directors (Devang Vyas, Sunita Shah, Amitabh Saikia, Krish Vyas), ₹25 crore limit for subsidiary investments, and appointment of secretarial auditor. Board includes Whole Time Director Raktim Kumar Das, CFO Prakasam Raghavan, and Company Secretary Madhu P. Dharewa.
Legal & Regulatory Matters
Ongoing dispute with 3A Capital Services Limited regarding transfer of 30,00,000 preference shares, with Supreme Court dismissing 3A Capital's appeal on August 28, 2024. Execution case hearings ongoing in NCLT Guwahati. Company states compliance with all SEBI Listing Regulations and maintains adequate internal financial controls.
Future Outlook
Company is pursuing restart strategy once power reconnected, eligible capital subsidies for working capital margin, and exploring joint ventures for project completion. Focus remains on debt recovery, creditor settlement, and potential fundraising through own funds or joint ventures to complete the textile park project.