Description

BSE suspends trading in Rolta India Limited shares effective December 17, 2025, following NCLT approval of resolution plan that cancels all existing equity shares without payment to shareholders.

Summary

BSE has suspended trading in the equity shares of Rolta India Limited (Scrip Code: 500366) effective December 17, 2025. This action follows the approval of a resolution plan by the National Company Law Tribunal (NCLT) Mumbai Bench under the Insolvency and Bankruptcy Code, 2016. The approved resolution plan mandates complete cancellation of all existing issued, subscribed, and paid-up share capital, with all shareholder rights being extinguished without any payment to existing shareholders. The suspension is implemented to avoid market complications arising from this corporate restructuring.

Key Points

  • NCLT Mumbai Bench has approved the resolution plan for Rolta India Limited under IBC, 2016
  • All existing issued, subscribed and paid-up share capital will be completely cancelled
  • All shareholder rights will be extinguished and written-off without any payment to shareholders
  • Cancellation occurs simultaneously with issuance of new equity shares on Transfer Date
  • Trading suspension effective from December 17, 2025
  • Suspension implemented to avoid market complications
  • Trading members requested to take note of the suspension

Regulatory Changes

The circular implements immediate trading suspension under the framework of the Insolvency and Bankruptcy Code, 2016. The NCLT-approved resolution plan supersedes normal equity rights, resulting in mandatory suspension of trading activities. This represents the application of insolvency law provisions that override typical securities market operations when a company undergoes resolution under IBC.

Compliance Requirements

  • Trading members must cease all trading activities in Rolta India Limited shares (Scrip Code: 500366) effective December 17, 2025
  • Market participants must note that existing equity shares will have no value as all shareholder rights are extinguished
  • No further buy or sell orders can be executed for this scrip on BSE
  • Trading members must inform their clients holding Rolta India shares about the suspension and share cancellation

Important Dates

  • December 17, 2025: Trading suspension effective date
  • Transfer Date: Date when existing share capital cancellation and new equity issuance occurs (specific date to be determined per resolution plan)

Impact Assessment

Shareholder Impact: Existing shareholders face total loss of investment as all equity rights are extinguished without compensation. This is the most severe outcome for equity investors.

Market Impact: Trading suspension prevents further transactions and price discovery for the scrip. The market capitalization of Rolta India Limited effectively becomes zero for existing shareholders.

Corporate Structure Impact: The company will undergo complete equity restructuring under the resolution plan, with new equity shares issued to resolution applicants or creditors as per NCLT-approved terms.

Precedent: This action follows standard procedure for companies undergoing resolution under IBC where existing equity holders are at the bottom of the creditor hierarchy and typically receive no recovery.

Impact Justification

Complete trading suspension and total share capital cancellation under insolvency proceedings with no shareholder compensation represents maximum severity impact for existing shareholders.