Balkrishna Paper Mills: NCLT Admits Share Capital Reduction Petition

Balkrishna Paper Mills Limited has received an order from the National Company Law Tribunal (NCLT) admitting its petition for the reduction of share capital. The reduction involves adjusting accumulated losses of ₹52.28 Crore by utilizing ₹23.28 Crore from the Securities Premium Reserve and the remaining ₹29.00 Crore by reducing the equity share capital. The face value of equity shares will be reduced from ₹10 to ₹1. Additionally, the entire preference share capital of ₹110 Crore will be reduced, with the amount payable to preference shareholders to be discharged when adequate funds are available, treated as an unsecured non-interest-bearing loan in the interim. The NCLT has directed the company to comply with further directions.