Subam Papers Ltd

Subam Papers Ltd has announced the closure of its trading window for dealing in the company's equity shares. This closure is in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015. The window will be shut from Wednesday, July 01, 2026, and will reopen 48 hours after the declaration of the unaudited financial results for the quarter ending June 30, 2026. The exact date of the board meeting to consider these results will be communicated later. Insiders are advised not to trade in the company's shares during this period.

Subam Papers Ltd reports no deviation or variation in the utilization of funds raised through a preferential issue for the quarter ended March 31, 2026. The amount raised includes ₹64.36 Crore from equity shares and ₹10.00 Crore from convertible warrants. The Audit Committee and Board reviewed the statement on May 26, 2026. The funds were allocated for debt repayment (₹73.00 Crore) and investment in a corrugated box unit (₹30.01 Crore).

Subam Papers Limited's Board of Directors, at their meeting on May 26, 2026, approved the Audited Standalone and Consolidated Financial Statements for the quarter and financial year ended March 31, 2026. The company's statutory auditors, M/s. CNGSN & Associates LLP, have issued an unmodified opinion on both the standalone and consolidated financial statements. The approved financial statements and the auditor's report have been submitted as per SEBI regulations.

Subam Papers Ltd revised its project cost for a preferential issue due to under-subscription of equity shares. Originally, the company aimed to raise ₹107.04 Cr, but received ₹74.36 Cr. Due to a shortfall of ₹2.66 Cr in equity issue proceeds, the board reduced the allocation towards General Corporate Purposes from ₹4.03 Cr to ₹1.36 Cr. Consequently, the overall project cost/fund utilization is revised from ₹107.04 Cr to ₹104.37 Cr.

Subam Papers Ltd has provided a corporate guarantee of ₹11.70 Crore to HDFC Bank for credit facilities extended to Nellao Subam Packaging LLP. The credit facilities include a CC Limit of ₹4.00 Crore and a Term Loan of ₹7.70 Crore. Subam Papers holds an 80% contribution and profit-sharing ratio in Nellao Subam Packaging LLP as a Designated Partner. The promoter group has no interest in this transaction, and the guarantee is at arm's length. This guarantee constitutes a contingent liability for Subam Papers.

Subam Papers Ltd. announced the approval of audited standalone and consolidated financial statements, along with the auditor's report, for the quarter and financial year ended March 31, 2026. The Board of Directors approved these results at their meeting on May 26, 2026. The statutory auditors, M/s. CNGSN & Associates LLP, issued an unmodified opinion on the financial statements. The board meeting commenced at 05:30 P.M. IST and concluded at 08:50 P.M. IST.

Subam Papers Ltd. has issued a corporate guarantee of ₹11.70 Crore to HDFC Bank on behalf of M/s. Nellai Subam Packaging LLP, where Subam Papers is a designated partner with an 80% contribution and profit-sharing ratio. The guarantee covers credit facilities including a CC Limit of ₹4.00 Crore and a Term Loan of ₹7.70 Crore. The company states that the guarantee is at arm's length and constitutes a contingent liability.

Subam Papers Ltd has scheduled a Board of Directors meeting on May 26, 2026, to consider and approve the audited standalone and consolidated financial statements for the quarter and financial year ended March 31, 2026. The trading window for dealing in the company's equity shares will remain closed until the end of May 28, 2026.

Subam Papers Ltd. has fully utilized the proceeds from its preferential issue, as reported by Brickwork Ratings India Private Limited in their monitoring agency report dated May 11, 2026, for the quarter ended March 31, 2026. The report, issued pursuant to SEBI regulations, confirms that the funds were used for the purposes stated in the offer documents.

Subam Papers Ltd's wholly-owned subsidiary, Subam Paper and Boards Private Limited, has commenced commercial production of Kraft paper at its new, automated manufacturing facility in Tirunelveli. This expansion boosts the company's consolidated manufacturing capacity by approximately 70.97%, from 1,80,000 MTPA to 3,07,750 MTPA. Specifically, Kraft paper manufacturing capacity has more than doubled, increasing by 96.78% to 2,59,750 MTPA. The new plant also enables product diversification by manufacturing 80-120 GSM Kraft paper, targeting the rapidly growing paper carry bag segment. Management anticipates this strategic investment will drive transformative growth and strengthen the company's competitive standing.