NSE/BSE Codes: Scrip Code: 544395, 977344, 977517; Scrip Symbol: STLNETWORK

Summary of Key Information:

Nature of Event / Disclosure:

Regulatory filing under Regulation 30 of SEBI Listing Regulations regarding update on pending litigation. The disclosure concerns a court order partly allowing a writ petition related to a smart city contract dispute.

Involved Parties / Authorities:

  • Petitioner: Sterlite Technologies Limited
  • Respondents: State of Andhra Pradesh, Kakinada Smart City Corporation Limited, and others
  • Judicial Authority: Hon'ble High Court of Andhra Pradesh at Amaravati
  • Presiding Judge: Hon'ble Justice Sri Harinath N.

Date / Timeline of Event:

  • Filing Date of Intimation: August 20, 2026
  • Court Order Date: Not explicitly stated in document (inferred recent)
  • Contract Date: June 30, 2017
  • Writ Petition Number: Writ Petition No. 39920 of 2022
  • Compliance Deadline: 12 weeks from date of receipt of court order for payment release

Brief Description of Outcome / Dispute:

The Hon'ble High Court of Andhra Pradesh partly allowed the writ petition filed by Sterlite Technologies Limited concerning the Contract for Development and Implementation of Smart City Solutions in Kakinada. The court directed respondents to verify and release the approved and admitted amount of ₹5.25 crores to the petitioner.

Impact of Outcome:

Financial Impact:

  • Direct financial benefit of ₹5.25 crores (Rupees Five Crore Twenty Five Lakh) to be received by Sterlite Technologies Limited within 12 weeks
  • Additional potential recovery of ₹3.78 crores related to encashed bank guarantee subject to separate dispute resolution
  • The matter pertains to the Global Services Business vertical demerged into STL Networks Limited effective March 31, 2025

Operational / Business / Strategic Impact:

  • Resolution of long-standing contract dispute (contract dated 2017, petition filed in 2022)
  • No operational disruption mentioned as the business has already been demerged
  • Positive precedent for contract enforcement and dispute resolution capabilities

Other Implications:

  • Judicial affirmation of the company's claim regarding approved amounts
  • Preservation of rights to pursue additional claims through contractual dispute resolution mechanisms

Next Steps / Required Actions:

  • Respondents must verify and release ₹5.25 crores within 12 weeks from receipt of court order
  • Company may separately invoke dispute resolution clause regarding encashed bank guarantee of ₹3.78 crores
  • No costs awarded by the court