STL Networks Ltd

Litigation and demerger update

• AP High Court partly allowed Sterlite's writ; Rs 5.25 crore to be released within 12 weeks.
• Petitioner may encash bank guarantee of Rs 3.78 crore under contract dispute resolution clause.
• Global Services Business demerged into STL Networks Limited effective March 31, 2025.

AGM details

• AGM scheduled for 8 Sep 2026 at 10:00 IST via VC/OAVM
• Deemed venue: registered office address
• Record/cut-off date for member entitlements: 28 Aug 2026
• Remote e-voting window: 4–7 Sep 2026; cutoff: 28 Aug 2026

Key resolutions

• Ordinary: adoption of standalone and consolidated financial statements for year ended Mar 31 2026
• Ordinary: re-appointment of Pravin Agarwal as Director liable to rotation
• Special: remuneration of Cost Auditors for 2026-27 (Rs 1,35,000 plus taxes)
• Special: appointment of Chandrasekhara Rao Battula as Whole-time Director & Interim CEO for 1 year
• Special: increase in overall managerial remuneration limits for Battula (1 year)
• Special: commission to Non-Executive Independent Directors for 2025-26 (Rs 17.53 Lakh each, pro-rata)

Voting results

• Voting results not disclosed in this filing

Dividend

• Dividend details not declared in this filing

Director changes

• Pankaj Malik resigned as Whole-time Director w.e.f 10-Jun-2026; CEO w.e.f 10-Sep-2026
• Chandrasekhara Rao Battula appointed as Whole-time Director & Interim CEO w.e.f 11-Jun-2026
• Pravin Agarwal re-appointment as Director (by rotation) proposed

Auditor appointments

• Cost Auditor: Mr. Kiran Naik appointed for 2026-27; remuneration Rs 1,35,000 plus taxes, subject to A/ shareholder ratification

Material related party transactions

• Corporate guarantee to Sterlite Technologies Limited: Rs 347 crore
• Pass-through arrangements with STL: 750.33, 553.42, 813.31, 1,317.01 crores
• Revenue from fellow subsidiaries: Rs 7.02 crore
• Purchase of cables from fellow subsidiaries: Rs 42.34 crore
• Purchase of services/licenses from fellow subsidiaries: Rs 5.07 crore
• Remuneration to KMP: Rs 3.18 crore

Other material approvals

• Post-year-end: proposed preferential issue of 45,000,000 warrants to Twin Star Overseas Limited; up to Rs 108 crore
• Shareholder approvals/receipts noted: Rs 27 crore received; approvals from stock exchanges in June 2026

Issue Overview

• Preferential issue of convertible warrants.
• No deviation or undersubscription reported for the issue.
• Repayment of facilities and general corporate purposes as main objectives.

Utilisation of Proceeds

• Utilisation aligns with disclosures; no material deviation observed.
• Nil deviations; no reallocation among objects reported.
• Repayment object partially utilised; some funds remain idle.
• GCP object shows no utilisation in the quarter; ongoing.
• Unutilised proceeds invested in a mutual fund; liquidity maintained.
• Implementation of objects ongoing; completion windows extended.
• Idle funds due to deployment timing; explicit reasons not detailed.
• Note: proceeds intermingled due to transfers; verification relied on certificates.

Governance and Compliance

• Statutory/shareholder approvals status not specified in MA.
• Latest reported year shows substantial losses, raising viability concerns.
• No other material information disclosed.

General Corporate Purpose (GCP)

• GCP utilisation in quarter: none.
• Board approval for GCP allocation not documented.
• GCP allocations not detailed per sub-head.

CGST order update

• Favourable order from Joint Commissioner CGST & CX, Haldia, set aside aggregate demand of Rs 6.06 crore.
• Matter relates to demerged Global Services Business vertical of Sterlite Technologies Limited into STL Networks Limited.
• Annexure-A provides details; no material impact on financials or operations.

Dematerialisation status

• Registrar and Share Transfer Agent confirmed no demat/remat requests were received in the reporting quarter.

COO Appointment

• Appointment of Col Girish Nandan Juneja as Chief Operating Officer, Senior Management Personnel, effective July 2, 2026.
• Profile: IIT Kharagpur M.Tech; 30+ years in EPC, O&M, and large infrastructure operations.
• Term: Not applicable.