Press Release

CIN: L45200GJ1988 P LC011049 R EGD.OFF.: 5 04, TRIVI D H C HAMBER, 5TH FLOOR, OPP. FIRE BRIGADE STATI O N, R ING ROAD, SURAT-395002, INDIA Phone (91-261) 2328902 ∙ E-Mail: corporate@sumeetindustries.com ∙ Visit us at: www.sumeetindustries.com Date : 19.06.2026 To, To, BSE Limited National Stock Exchange of India Ltd Department of Corporate Services Exchange Plaza, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Dalal Street, Fort, Bandra (E), Mumbai - 400 001 Mumbai - 400 051 Scrip Code - 514211 Symbol - SUMEETINDS Dear sir, Sub: Press Release Dear Sir/Madam, Please find enclosed herewith Press Release issued by the Company titled: “ Sumeet Industries Limited's ₹199.75 Cr Rights Issue to Fund 1,40,000 TPA Capacity Expansion, Debt Reduction and Solar Project “ This is for your information and record please. Thanking you. For Sumeet Industries Limited Anil Kumar Jain Company Secretary Encl.: As above Sumeet Industries Limited's ₹199.75 Cr Rights Issue to Fund 140,000 TPA Capacity Expansion, Debt Reduction and Solar Project Surat, 19th June, 2026 – Sumeet Industries Limited, (NSE Code: SUMEETINDS, BSE Code: 514211), one of the leading integrated polyester manufacturers engaged in the production of Pet Chips, Partially Oriented Yarn (POY), Fully Drawn Yarn (FDY) and Polyester Texturized Yarn, has announced a Rights Issue for its eligible shareholders aimed at enhancing financial flexibility and supporting the Company's strategic business priorities. Rights Issue Overview: The Board of Directors of Sumeet Industries Limited has approved the terms of a Rights Issue aggregating to ₹199.75 Cr through the issuance of ₹16.84 Cr fully paid-up equity shares. The Company proposes to deploy ₹49.00 Cr from the Rights Issue proceeds towards the acquisition and operationalisation of Additional 140,000 Ton Per Annum Polyester Chips (CP) Plant acquired from Nakoda Limited in Surat, Gujarat. The project involves a total capital outlay of ₹90.00 Cr; with the balance ₹41.00 Cr being funded through internal accruals. Expected to be recommissioned in Q1 FY27- 28, the facility will strengthen backward integration and support the Company's downstream polyester manufacturing operations. Key Terms of Rights Issue: Rights Issue Size ₹199.75 Cr Shares Offered 16.84 Cr Equity Shares Issue Price ₹11.86 Per Share Face Value ₹2 Per Share Entitlement Ratio 8 Rights Shares for every 25 Shares Held Record Date June 12, 2026 Issue Opens June 22, 2026 Last Date for Renunciation July 15, 2026 Issue Closes July 20, 2026 Proposed Utilisation of Net Proceeds (₹ 194.90 Cr) Utilisation Category Amount (₹ Cr) Purpose Working Capital Support 100.00 Higher Production, Raw Material Procurement Nakoda Asset Integration 49.90 Fund to operationalisation of Nakoda Limited Debt Repayment 23.00 Prepayment of borrowings to reduce debt 6.5 MW Solar Power Plant 22.00 To reduce power cost and improve energy security Strategically, the proposed capital allocation is focused on four key pillars - manufacturing scale-up, asset integration, balance sheet strengthening, and energy security. Together, these initiatives are expected to enhance operational resilience, improve resource efficiency, and strengthen the Company's long-term growth platform. The planned investments are intended to strengthen Sumeet Industries' competitive positioning while supporting sustainable and profitable growth over the long term. The capital raised through the Rights Issue will support Sumeet Industries next phase of growth by strengthening working capital, accelerating the integration of acquired manufacturing assets, optimizing the capital structure through debt reduction, and enhancing energy security through a captive solar power facility. These initiatives are expected to improve operational efficiency, expand manufacturing capabilities. Issue De Commenting on the Rights Issue, Mr. Pratik R. Jaju, Managing Director of Sumeet Industries Limited said, “The Rights Issue marks an important milestone in Sumeet Industries' growth journey and reflects our commitment to strengthening the Company's operational and financial position. We are pleased to offer our existing shareholders an opportunity to participate in the Company's future growth. The proposed fund raise of ₹199.75 Cr will support key strategic priorities, including working capital requirements, integration of acquired manufacturing assets, debt reduction, and investment in a captive solar power facility. A key focus area will be the operationalisation of the recently acquired Polyester Chips manufacturing facility from Nakoda Limited, which is expected to strengthen backward integration and enhance our integrated polyester value chain. This acquisition will support our downstream POY and FDY operations, enhance operational scale, and provide a strong platform for future growth. Driven by the anticipated benefits of this acquisition and its integration, the Company expects approximately 30% growth in Total Income during FY 2026-27, with EBITDA margins in the range of 5.0%–6.0%. Following the successful integration of the acquisition, Total Income is expected to nearly double in FY 2027-28, while EBITDA margins are expected to improve to 5.5%–6.5%. As we continue to focus on expanding our presence across the polyester value chain, strengthening backward integration, we believe this Rights Issue will further position the Company to capitalize on emerging growth opportunities and deliver sustainable long-term value for all stakeholders.” About Sumeet Industries Limited Incorporated in 1988, Sumeet Industries Limited is a Surat-based integrated polyester manufacturer engaged in the production of Pet Chips, Partially Oriented Yarn (POY), Fully Drawn Yarn (FDY), and Polyester Texturized Yarn. The company has been taken over by the Eagle Group, Successful Resolution Applicant, in pursuance of the Hon’ble NCLT order dated 16 July 2024. The promoters of Eagle Group are seasoned technocrats with over 40 years of experience in the textile industry, bringing strong operational and strategic expertise to the company. With over four decades of experience, Sumeet Industries operates a technologically advanced manufacturing facility equipped with international-standard quality testing and R&D infrastructure for developing a wide range of yarns and applications. The Board has approved Phase 1 of the polyester yarn capacity expansion, involving an addition of 15,000 tonnes per annum with an investment of ₹30 Cr, aimed at strengthening the company’s presence in the value-added synthetic yarn segment while supporting scale and profitability. The company has also invested 27% stake in HI-URJA TECHNO LLP, a Solar Power Generating Plant which has installed capacity of 14 MW as a Captive consumer and has been sourcing solar. Apart from this the company has also been weighing to source to get Renewal power (Solar, Wind and Both) under Captive/Group captive from various Generators Sumeet Industries is also focusing on developing value-added yarns, introducing Bright and dope dyed yarn, and widening its product range to cater to diverse applications within the domestic textile industry. In FY26, the company recorded revenue of ₹1,053.81 Cr, EBITDA of ₹60.77 Cr, and Profit After Tax (Including Exceptional Item) of ₹27.33 Cr. Disclaimer Certain statements in this document that are not historical facts are forward looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local, political or economic developments, technological risks, and many other factors that could cause actual results to differ materially from those contemplated by the relevant forward-looking statements. The Company will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances. For Further Information Please Contact Co [Showing first 8,000 characters — download PDF for full document]