Description

PAE Limited's equity shares to be listed and available for trading under XT Group from January 07, 2026, following NCLT-approved Resolution Plan under IBC 2016.

Summary

PAE Limited’s 10,00,000 fully paid-up equity shares of Rs. 10/- each will be listed and available for trading on BSE under XT Group from January 07, 2026. This follows the approval of a Resolution Plan by NCLT Mumbai Bench on November 27, 2024, under the Insolvency and Bankruptcy Code, 2016. The company will trade in Trade-to-Trade segment and be part of Special Pre-Open Session for IPO and Other category scrips.

Key Points

  • Scrip Code: 517230
  • Scrip ID/Name: PAEL
  • ISIN: INE766A01026
  • Group: XT (Trade-to-Trade segment)
  • Market Lot: 1 share
  • Face Value: Rs. 10/- per share
  • Total Shares: 10,00,000 fully paid-up equity shares
  • Distinctive Numbers: 1 to 1,000,000
  • Registered Office: Level 1, Block A, Shivsagar Estate, Dr. Annie Besant Road, Worli, Mumbai - 400018
  • Trading Commencement: January 07, 2026 (Wednesday)

Regulatory Changes

Resolution Plan Details (NCLT Approved - November 27, 2024)

  1. 100% extinguishment of existing promoter holdings
  2. Capital Reduction: Public shareholding reduced from 10,41,96,000 equity shares to 50,000 equity shares (Rs. 10/- each) for existing public shareholders
  3. Preferential Allotment: 9,50,000 equity shares (Rs. 10/- each) allotted to Successful Resolution Applicant
  4. Record Date: March 04, 2025 (as per Exchange Notice no. 20250225-91 dated February 25, 2025)

Lock-in Requirements

  • 47,368 shares (Distinctive no. 50001-97368): Locked until January 20, 2027
  • 2,36,842 shares (Distinctive no. 100001-336842): Locked until January 20, 2027
  • 6,15,790 shares (Distinctive no. 350001-965790): Locked until January 20, 2027
  • Total Locked-in Shares: 9,00,000 shares (90% of total equity)

Compliance Requirements

  • Trading will continue under Trade-to-Trade segment as per Exchange Notice no. 20230210-55 dated February 10, 2023
  • Securities will be part of Special Pre-Open Session for IPO and Other category as per SEBI Circulars CIR/MRD/DP/01/2012 and CIR/MRD/DP/02/2012 dated January 20, 2012
  • Equity shares allotted in dematerialized mode have been credited under temporary ISIN in accordance with SEBI Circular no. CIR/MRD/DP/21/2012 dated August 02, 2012
  • Market participants must note the XT Group classification and associated trading restrictions

Important Dates

  • January 05, 2026: Circular issue date
  • January 07, 2026: Listing and trading commencement date
  • March 04, 2025: Record date for resolution plan implementation (as previously announced)
  • January 20, 2027: Lock-in expiry date for locked-in shares
  • November 27, 2024: NCLT order approval date

Impact Assessment

Corporate Impact

  • Complete change in ownership structure with 100% promoter exit
  • Significant dilution for existing public shareholders (from 10.42 crore shares to 50,000 shares)
  • New controlling interest through Successful Resolution Applicant (95% of post-restructuring equity)

Trading Impact

  • Placement in XT Group indicates enhanced surveillance due to corporate action
  • Trade-to-Trade segment means no intraday trading; delivery-based only
  • Special Pre-Open Session applicable for price discovery
  • 90% of shares under lock-in until January 2027, limiting free float to approximately 1,00,000 shares

Investor Considerations

  • Company emerged from insolvency proceedings under IBC framework
  • Restricted trading environment with T2T and XT classification
  • Limited liquidity due to substantial lock-in and small free float
  • Market participants should exercise caution given corporate debtor history

Regulatory Significance

  • Example of successful resolution under Insolvency and Bankruptcy Code, 2016
  • Demonstrates NCLT-approved restructuring leading to relisting
  • Market surveillance measures in place through XT Group and T2T classifications

Impact Justification

Significant corporate action involving NCLT-approved resolution plan with complete extinguishment of promoter holdings, capital reduction, and fresh listing under XT Group with trade-to-trade restrictions