Varroc Engineering’s Board of Directors has approved several key financial measures for the fiscal year 2025-26, including a dividend and a significant fundraising initiative. At a meeting held on May 27, 2026, the company announced a final dividend of ₹1.50 per equity share, representing 150% of the face value of ₹1 each. This dividend is subject to the approval of shareholders at the upcoming 38th Annual General Meeting (AGM) and will be paid within 30 days of the AGM, pending applicable tax deductions.
In addition to the dividend, Varroc Engineering is preparing to raise funds through the issuance of Secured/Unsecured Redeemable Non-Convertible Debentures (NCDs) amounting to ₹500 crores. This fundraising will be conducted on a private placement basis, with the specifics of the issue, such as terms and conditions, to be finalised at the time of issuance. The company seeks shareholder approval for this initiative via a special resolution at the forthcoming AGM.
The Board has also set a record date of August 7, 2026, to determine shareholder eligibility for the dividend. Additionally, the AGM is scheduled for August 20, 2026, and will be conducted through video conferencing in line with regulatory guidelines.
Further, the Board has approved the re-appointment of M/s. S. R. Bhargave & Co. as cost auditors for the financial year 2026-27. This re-appointment is subject to the ratification of remuneration by shareholders at the AGM.
Varroc Engineering is also seeking to increase its borrowing limits under sections 180(1)(c) and 180(1)(a) of the Companies Act, 2013, to ₹3,000 crores. This increase will be over and above the aggregate of the paid-up share capital, free reserves, and securities premium of the company.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).