Refex Industries Ltd

Order-in-Appeal outcome

• Order-in-Appeal allowed Refex's appeal; aggregate tax and penalty demand of ₹29,31,92,582 set aside.
• Interest on the demand also set aside; relates to ITC on allegedly non-existent invoices.
• ₹5,86,92,809 paid under protest becomes eligible for refund/re-credit under applicable law.
• Order dated Oct 13, 2026; received Oct 15, 2026; no material adverse impact on finances or operations.

Tax tribunal outcome

• Order dated Oct 14, 2026 from CIT(A) disposed of Refex's appeal for AY 2014-15.
• CIT(A) partly allowed; upheld reassessment validity and remanded land value adjustments to stamp authority.
• Depreciation disallowance of Rs 36,39,505 deleted.
• Long-Term Capital Gains addition of Rs 17,47,79,079 remanded for fresh quantification.
• Company will account for the matter in books and may file ITAT appeal where permissible.
• Impact: order favorable; final tax liability to crystallize upon final quantification.

Order disposition

• CIT(A) Chennai-20 issued Oct 14, 2026 on Refex's 2014-15 reassessment appeal.
• Appeal disposed; partially allowed.

Key financial adjustments

• Depreciation disallowance of Rs 36,39,505 deleted.
• Long-term capital gains addition of Rs 17,47,79,079 remanded for fresh quantification.
• Final land value under Section 47A to be determined by stamp valuation authority.
• Original tax demand Rs 8,21,12,856 reduced to Rs 7,51,16,883 after rectification.

Outlook and next steps

• Company evaluating order and may file ITAT appeal if warranted.
• Company to account per accounting standards and disclose upon crystallisation of final tax liability.

Promoter encumbrance on RHPL shares

• RHPL pledged 3,67,81,772 Refex shares (26.80% of total) on 09-10-2026.
• Total promoter holding: 7,76,23,085 shares (56.56%); encumbered 47.36% of promoter stake.
• In favour of Infosoft Global Private Limited; end-use: personal use by promoters and PACs; amount ₹40 crore.
• Release on 12-10-2026 reduced encumbrance to 3,67,64,272 shares.
• Nos. 6–18 pledged through 2027; various counterparties; end-use: personal use or collateral.

Refex Industries Ltd — Trading Window closed from Oct 01, 2026 for standalone and consolidated unaudited 2Q FY 2026-27 results (quarter ended Sept 30, 2026) till 48 hours after the declaration of the aforesaid results.

Refex Industries Limited – Trading Window closed from Oct 01, 2026 for Q2 FY 2026-27 (ending Sept 30, 2026) till 48 hours after the declaration of the aforesaid financial results

Key Update

• Refex has commenced commercial operations for its Ready-Mix Concrete (RMC) business.
• RMC operations will use a lease-based, asset-light model for faster entry and expansion.
• First RMC plant at Wadmukhwadi, Pune, commenced operations with effect from September 25, 2026.

RMC launch

• Commenced commercial Ready-Mix Concrete operations at first plant in Wadmukhwadi, Pune, effective September 25, 2026.
• Leased asset-light model to enable rapid market entry and scalable expansion.
• RMC business led by Anil Kulkarni, Chief Business Officer.
• Supports residential, commercial, industrial, and infrastructure projects.
• Part of Refex's forward integration strategy to expand into construction materials.

Promoter encumbrance events

• Creation of pledge on RHPL promoter shares: 5,00,000 pledged to Minecs Finvest Private Limited.
• Promoter RHPL held 7,76,23,085 shares (56.56%).
• Encumbered shares before creation: 3,67,02,103 (26.75%).
• Post-creation encumbered shares: 3,72,02,103 (27.11%).
• Name of beneficiary: Minecs Finvest Private Limited.
• Release of pledge on 23-09-2026; beneficiary Ellenbarrie Industrial Gases Limited.
• Shares encumbered after release: 3,63,68,770 (26.50%).
• Released 8,33,333 pledged shares (1.07%).
• Total existing pledges on RHPL promoter shares to trustees; overall encumbrance around 26.50%.
• End use: Personal use by promoters and PACs.