Neueon Corporation Ltd

Rights issue update

• Management Committee to decide terms of the Rights Issue, including price, entitlement ratio, record date, and timing.
• Rights issue size is up to ₹150.79 crores, partly paid-up equity shares of ₹1 face value.
• In-principle approvals from stock exchanges and regulatory authorities are required.
• Record date, rights entitlement ratio, price, and payment mechanism will be determined.
• Board had approved the Rights Issue on July 31, 2026.
• Meeting date: August 6, 2026.

Rights issue details

• Instrument: partly paid-up equity shares (Rights Equity Shares) with ₹1 face value.
• Mode: rights issue to eligible public shareholders (public category).
• Amount: not exceeding ₹15079 Lakhs (₹150.79 crore).
• Issue price: to be determined; pricing mechanism to be disclosed later.
• Key terms: face value ₹1; rights entitlement ratio to be decided.
• Target investors: eligible public shareholders (public category).
• Purpose: to achieve minimum public shareholding.
• Approvals: subject to shareholder approvals and regulatory clearances.
• Record date: to be determined and notified subsequently.
• Management Committee to determine detailed terms and communicate to exchanges.

Registered office shift

• Shift of registered office approved, subject to shareholder approval.
• New address: 204, Second Floor, Ashoka Capital, Road No. 2, Banjara Hills, Hyderabad.
• Reason: better coordination with Hyderabad stakeholders.
• Annexure confirms shift details.

Parties to agreement

• Issuer: Neueon Corporation Limited (532887).
• Counterparty: Elcom Innovations Private Limited.

Purpose

• Procurement Partnership/MOU for supply of tactical communication equipment and solutions.

Key terms

• MOU dated 24 July 2025 with Elcom Innovations Private Limited.
• Order value: approximately ₹150 crore for 12 months.
• Deliverables to be completed by 23 July 2027.
• Nature of orders: procurement of raw materials.
• Domestic entity and domestic orders.

Related party status

• Not a related party transaction.
• Promoter group has no interest in Elcom Innovations Private Limited.

Impact

• Expected revenue impact: ₹150 crore over the next 12 months.
• No ownership or control changes indicated.

Other disclosures

• Regulatory disclosures under SEBI LODR filed; no conflicts of interest disclosed.

Parties

• Parties: Neueon Corporation Limited and Elcom Innovations Private Limited.

Purpose

• Procurement Partnership/MOU for supply of tactical communication equipment and solutions.

Key terms

• MOU dated 24 July 2025 with Elcom Innovations Private Limited.
• Deliverables to be completed by July 23, 2027.
• Contract value approximately ₹35 crore, exclusive of tax, in multiple tranches.
• Scope: procurement of raw materials for tactical equipment.
• Domestic award; domestic orders.

Related party status

• Promoter group interest: No.
• Order not a related party transaction.

Impact

• Potential material procurement volume; ~₹35 crore over term.
• Timing: deliveries through July 2027; impacts cash flows.

Other disclosures

• Conflicts of interest: none disclosed.
• Board/management changes: none disclosed.

Dematerialisation/rematerialisation status

• No dematerialisation/rematerialisation requests were received during the quarter.
• Regulation 74(5) not applicable as all shares are in demat form.

Financial Performance

• Board approved unaudited standalone and consolidated financial results for Q3 and nine months ended December 31, 2025.
• Net loss after tax was Rs. (11,978.65) lakhs for nine months ended December 31, 2025.
• Basic and diluted earnings per share stood at Rs. (2.12) for nine months ended December 31, 2025.
• Paid-up equity share capital increased to Rs. 5,654.46 lakhs (face value Rs. 1 each).
• Total comprehensive income equals net loss; no other comprehensive income reported.

Auditor Remarks ️

• Limited review reports qualified due to no impairment testing on PPE, investments, and financial assets per Ind AS 36.
• No valuation on unquoted equity investments in subsidiary worth Rs. 13,993.47 lakhs; recoverability concerns noted.
• Subsidiary financials unaudited and based on management reports; auditors disclaim responsibility for accuracy.
• Emphasis on management oversight for approved Resolution Plan implementation.

Governance and Regulatory Disclosures

• Company exited Corporate Insolvency Resolution Process on October 23, 2024, with NCLT approval of Resolution Plan by Preca Solutions India Private Limited.
• New Board of Directors reconstituted and managing affairs since November 6, 2024.
• Resolution Plan implementation ongoing via SPV Preca Structures Private Limited; all dues to financial creditors paid.
• No transactions reported for subsidiaries Neueon Enterprises, Neueon Power, Neueon Global, and foreign subsidiary Digitech Business Systems.