Dollex Agrotech Limited, a key player in India’s agro-processing and biofuel industry, has formally disclosed that its promoters have not created any encumbrance—either direct or indirect—on their shareholding in the company during the financial year ending 31st March 2025.

This declaration, made under Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, was submitted to the National Stock Exchange of India Ltd. on 04th April 2025. The company’s Company Secretary & Compliance Officer, Ms. Siddhi Banthiya, officially communicated the disclosure on behalf of the promoter and promoter group.

Understanding SEBI Regulation 31(4)

As per the SEBI (SAST) Regulations, Regulation 31(4) mandates every promoter and person acting in concert (PAC) to make a yearly declaration confirming whether they have created any encumbrance on the shares they hold in a listed entity. The regulation is aimed at ensuring transparency in promoter shareholding and at mitigating risks related to undisclosed pledges or charges.

An encumbrance includes any charge, lien, pledge, or other restriction on the transferability of shares. By declaring that no such encumbrance exists, the promoter reaffirms a clear and unencumbered ownership of the company’s equity.

Details of the Disclosure:

In the formal communication addressed to both the NSE and the company’s Audit Committee, the following key points were disclosed:

• The declaration was made by the promoter and promoter group of Dollex Agrotech Limited.

• There were no direct or indirect encumbrances created on their shareholding in the company for FY2024–25.

• The letter was submitted in line with regulatory timelines and obligations for the year ending 31st March 2025.

The letter was signed on behalf of the promoter group and included the registered office address of Dollex Agrotech Limited, located in Indore, Madhya Pradesh.

Why Is This Disclosure Significant?

Promoter-level disclosures such as these are critical for maintaining investor confidence, especially in publicly listed companies. A declaration of no encumbrance indicates:

• Promoters haven’t pledged shares as collateral for personal or business loans.

• There is no hidden liability that could adversely affect the company’s stock price.

• The promoter group maintains uninterrupted control over their shareholding, thereby strengthening the company’s governance.

In contrast, companies where promoter shares are significantly pledged often face negative investor sentiment due to perceived risks of default or dilution.

About Dollex Agrotech Limited:

Dollex Agrotech is a diversified agro-industrial firm that operates in ethanol production, grain processing, and renewable energy solutions. Headquartered in Indore, Madhya Pradesh, the company has been gaining attention for its contribution to India’s green energy and sustainable agriculture initiatives.

Since its listing, Dollex has aimed to maintain a reputation for strong governance, regulatory compliance, and transparency. With its aggressive expansion plans into bioethanol manufacturing and agro-based value chains, maintaining clean promoter records is a strategic imperative.

Corporate Governance and Compliance

The recent filing not only reflects compliance with SEBI’s statutory requirements but also aligns with Dollex Agrotech’s broader commitment to corporate governance and shareholder trust. Under the guidance of its Board and compliance team, the company continues to meet periodic disclosure standards essential for its capital market credibility.

Ms. Siddhi Banthiya, the Company Secretary and Compliance Officer, has ensured timely regulatory communication, demonstrating the firm’s professionalism and adherence to legal norms.

Impact on Stakeholders

For retail and institutional investors alike, this no-encumbrance declaration provides a sense of security and transparency. It also:

• Enhances Dollex Agrotech’s corporate standing in the public market.

• Sends a positive signal to current and potential investors regarding the promoter’s financial independence.

• Reinforces confidence in the company’s management structure and decision-making transparency.

Such disclosures are especially important in a capital-intensive industry like bioenergy, where companies often rely on promoter equity for fundraising. Knowing that promoter shares are unpledged assures stakeholders that the company is financially sound and strategically independent.

Conclusion

With the submission of this no-encumbrance declaration under SEBI Regulation 31(4) for FY2024–25, Dollex Agrotech Limited has once again underlined its commitment to regulatory compliance, corporate transparency, and investor trust. This development adds to the company’s growing profile as a well-governed, ethically managed player in India’s agro-industrial and renewable energy sector.

As Dollex continues to expand and diversify its operations, such responsible corporate actions will play a key role in sustaining long-term investor confidence and achieving its mission of innovation-driven, sustainable growth.

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