Description
BSE notifies trading members that Charms Industries Ltd has fixed 20 May 2026 as the record date for reduction of equity share capital from Rs.10/- per share to Re.1/- per share, as approved by the NCLT Ahmedabad Bench.
Summary
BSE Notice No. 20260519-13 informs trading members that Charms Industries Ltd (BSE: 531327) has fixed 20 May 2026 as the record date for a reduction of its paid-up equity share capital. The reduction has been approved by the Hon’ble National Company Law Tribunal (NCLT), Ahmedabad Bench. Trading in the company’s shares is currently under suspension.
Key Points
- Record date for capital reduction is 20 May 2026.
- Suspension of trading is also effective from 20 May 2026 (Settlement DR-634/2026-2027).
- The reduction is court-approved via NCLT, Ahmedabad Bench.
- Existing paid-up equity share capital of Rs. 4,10,61,000 (41,06,100 shares of Rs. 10/- each fully paid) will be reduced to Rs. 41,06,100 (41,06,100 shares of Re. 1/- each fully paid).
- Each shareholder will receive 1 equity share of Re. 1/- fully paid-up against every 1 equity share of Rs. 10/- fully paid-up held as on the record date — the number of shares remains unchanged but face value is reduced by 90%.
- No attachments were included with this notice.
Regulatory Changes
- The face value of Charms Industries Ltd equity shares is being reduced from Rs. 10/- to Re. 1/- per share pursuant to an NCLT order.
- Total paid-up capital reduces from Rs. 4,10,61,000/- to Rs. 41,06,100/-, a 90% reduction in capital, while the number of shares (41,06,100) remains the same.
Compliance Requirements
- Trading members must note the record date and the ongoing trading suspension.
- Members should update client holdings and position records to reflect the new face value of Re. 1/- per share effective on the record date.
- No dealings in the scrip are permitted from 20 May 2026 (suspension continues).
Important Dates
| Event | Date |
|---|---|
| Notice Date | 19 May 2026 |
| Record Date (Capital Reduction) | 20 May 2026 |
| No Dealings / Suspension effective | 20 May 2026 |
| Settlement Reference | DR-634/2026-2027 |
Impact Assessment
This capital reduction has a significant impact on shareholders: while the number of shares held remains unchanged at 41,06,100, the face value per share drops 90% from Rs. 10/- to Re. 1/-. The total paid-up capital of the company is reduced from approximately Rs. 4.1 crore to Rs. 41 lakh. Since trading is already suspended, secondary market participants cannot transact in this scrip around the record date. Shareholders on record as of 20 May 2026 will have their share face value adjusted automatically; no additional shares are issued or cancelled.
Impact Justification
Court-approved capital reduction changes the face value of every share from Rs.10 to Re.1; trading is currently suspended and the record date triggers settlement DR-634/2026-2027, directly affecting all shareholders and existing positions.