Closure of the Company''s Garment Division (Knitwear Unit).

General Manager, October 06, 2026 Department of Corporate Services, BSE Ltd. Phiroze Jeejeeboy Towers, Dalal Street, Mumbai - 400 001 Security Code : 532957 Security ID : GOKAKTEX Subject: Intimation under Regulation 30 of SEBI (LODR) Regulations, 2015 – Closure of Garment Division (Knitwear Unit / Factory) of the Company. Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and in continuance to our communication dated August 11, 2026 (letter enclosed) we hereby inform you that: The Management of M/s. Gokak Textiles Limited (Garment Division), situated at Marihal Village, Belagavi, had filed an application dated 06.07.2026 under Section 25-O of the Industrial Disputes Act, 1947, read with Sec 80 of Industrial Relations Code, 2020 seeking permission from the State Government for closure of the said unit for the reasons stated in detail in the said application, with effect from 6.10.2026. A copy of the said application was duly served upon the concerned union/workmen. As per the application, the Management proposed to close the unit with effect from 06.10.2026, i.e., after completion of 90 days from the date of application, as required under the said provision. An Application seeking permission for closure dated 6.7.2026, was received by the State Government on 6.7.2026 and as per the applicable provisions of the Industrial Disputes Act, 1947 and Industrial Relations Code, 2020 the authority designated by the State Government was supposed to conduct hearing and decide the said application within the period of 60 days from the date of receipt of the application. In pursuance of the above application, the Management received a notice from the Additional Labour Commissioner (ADLC), Bengaluru, attended a meeting on 05.08.2026, and also received a letter from the ADLC dated 06.08.2026. However, the Management has not received any order granting or refusing permission for closure from the Government of Karnataka, Labour Department, within the statutory period of 60 days from the date of application (i.e. from 06.07.2026). Accordingly, in terms of Section 25-O(3) of the Industrial Disputes Act, 1947 read with Section 80 (3) of Industrial Relations Code, 2020, the permission for closure shall be deemed to have been granted on expiry of the said 60 day period. In view of the above, the Management hereby notifies that for the reasons mentioned in the intimation to BSE Ltd. dated August 11, 2026 and in the application for permission for closure, the Garment Division of M/s. Gokak Textiles Limited at Marihal Village, Belagavi shall stand closed with effect from 06.10.2026. As a consequence of the said closure, the service of all the workers stands terminated. The Management assures all workmen and staff that full and final settlement of all dues, including closure compensation, shall be made in accordance with the provisions of applicable labour laws and statutory requirements. GOKAK TEXTILES LIMITED Registered Office: #1, 2nd Floor, 12th Cross, Ideal Homes, Near Jayanna Circle, Rajarajeshwari Nagar, Bengaluru – 560 098 Telephone No.: +91 80 29744077 / 29744078 Website: www.gokaktextiles.com GSTIN: 29AACCG8244P1ZX CIN: L17116KA2006PLC038839 The overall performance of the Knitwear Business had declined over the past years because of various reasons. The knitwear unit/factory (herein after referred as “Garment Division”) is located on freehold land of 15.65 acres including utilities. The Garment Division was set up in the year 1995. The Garment Division was initially setup to cater exclusively to the export market. Over the years, it sold portion of the production in the local market through third party outlets as well as under Company’s own brand names. Specialised garmenting machines like fabric dyeing, knitting and other miscellaneous machines have been shifted to Mills Division of the Company, at Gokak Falls, Karnataka in the year 2015-16. Only cutting and stitching facility is being carried out at Knitwear Unit at Marihal. Now the cutting and stitching facilities has shifted to Mills Division of the Company, at Gokak Falls, Karnataka. As intimated to BSE Limited in earlier letters, following the closure of the Garment Division, the land, building, plant and machinery of the Division will be sold/disposed-off, after all necessary regulatory and statutory approvals are obtained. The details required as per the SEBI Master Circular no. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026, are mentioned in Annexure – I. For Gokak Textiles Limited Rakesh M. Nanwani Company Secretary & Compliance Officer Membership No.: A45718 Encl: As above GOKAK TEXTILES LIMITED Registered Office: #1, 2nd Floor, 12th Cross, Ideal Homes, Near Jayanna Circle, Rajarajeshwari Nagar, Bengaluru – 560 098 Telephone No.: +91 80 29744077 / 29744078 Website: www.gokaktextiles.com GSTIN: 29AACCG8244P1ZX CIN: L17116KA2006PLC038839 Annexure – I Closure of operations of any unit, division or subsidiary (in entirety or in piecemeal): Sr. No. Particulars Details 1 date of such binding agreement, if September 09, 2025 any, entered for sale of such unit/division, if any; 2 amount & percentage of turnover For the FY 2025 – 2026 turnover of the or revenue or income and net knitwear business / unit was Rs. 422.73 worth of the listed entity lakhs, i.e. 9.76 % of the total revenue from contributed by such unit or operations for the FY 2025-2026. division during the last financial year; As at 31 March, 2026, net worth of the knitwear business / unit was negative Rs. (4,192.55) lakhs, i.e. contributing 21.58 % to the Company's net worth negative Rs. (19,423.50) lakhs. 3 date of closure or estimated time October 06, 2026 of closure 4 reasons for closure Factors include: • Structural Cost Disadvantages and Operational Unviability • Adverse Textile Industry Conditions • Machinery Obsolescence and High Maintenance Costs • Industrial Relations Issues • Electricity & Water Supply Issues • Environmental and Regulatory Restrictions GOKAK TEXTILES LIMITED Registered Office: #1, 2nd Floor, 12th Cross, Ideal Homes, Near Jayanna Circle, Rajarajeshwari Nagar, Bengaluru – 560 098 Telephone No.: +91 80 29744077 / 29744078 Website: www.gokaktextiles.com GSTIN: 29AACCG8244P1ZX CIN: L17116KA2006PLC038839 General Manager, August 11, 2026 Department of Corporate Services, BSE Ltd. Phiroze Jeejeeboy Towers, Dalal Street, Mumbai - 400 001 Security Code : 532957 Security ID : GOKAKTEX Subject : Intimation under Regulation 30 of SEBI (LODR) Regulations, 2015 – Closure and Proposed Sale of Knitwear Unit / Factory. Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and in continuance to our communications dated September 09, 2025, January 27, 2026 and May 07, 2026 (letters enclosed) we hereby inform you that: 1. The Board of Directors of the Company at its meeting held today, i.e., Tuesday, August 11, 2026, has approved, subject to statutory and regulatory approvals/procedures, if any, the permanent closure and subsequent sale/disposal of the Company’s knitwear unit/factory located at: Bagalkot Road, Village Marihal, District – Belagavi, Karnataka State, on as is where is basis. 2. The overall performance of the Knitwear Business had declined over the past years because of various reasons. The knitwear unit/factory (herein after referred as “Knitwear Unit”) is located on freehold land of 15.65 acres including utilities. The Knitwear Unit was set up in the year 1995. The Knitwear Unit was initially setup to cater exclusively to the export market. Over the years, it sold portion of the production in the local market through third party outlets as well as under Company’s own brand names. Specialised garmenting machines like fabric dyeing, knitting and other miscellaneous machines have been shifted to Mills Division of the Company, at Gokak Falls, Karnataka in the year 2015-16. Only cutting and stitching facility is bei [Showing first 8,000 characters — download PDF for full document]