KAVDEFENCE - Kavveri Defence
📢 Recent Corporate Announcements
Kavveri Defence has approved the allotment of 72,50,000 equity shares following the conversion of warrants issued in September 2024. The shares were issued at a price of Rs. 16 each, resulting in a fresh capital infusion of Rs. 8.70 crores, representing the 75% balance payment. The allottees include one promoter group member and two non-promoter individuals. This conversion has increased the company's total paid-up equity capital from Rs. 52.87 crores to Rs. 60.12 crores.
- Allotment of 72,50,000 equity shares at an issue price of Rs. 16 per share (including Rs. 6 premium)
- Total capital raised through the 75% balance payment amounts to Rs. 8.70 crores
- Paid-up equity capital increased from 5,28,74,260 shares to 6,01,24,260 shares
- Promoter group member C Mokshith Reddy acquired 22,50,000 shares, representing a 3.74% post-issue stake
- The allotment follows a specific SEBI exemption granted on March 05, 2026, regarding ICDR regulations
Kavveri Defence & Wireless Technologies has approved the allotment of 1.85 crore equity shares following the conversion of warrants issued in September 2024. The conversion was executed at a price of Rs. 16 per share, bringing in a fresh capital infusion of Rs. 22.20 crores, representing the final 75% payment. The allotment includes 16 investors across promoter and non-promoter categories, significantly expanding the company's equity base. Consequently, the paid-up equity capital has increased from Rs. 34.37 crores to Rs. 52.87 crores.
- Allotment of 1,85,00,000 equity shares at an issue price of Rs. 16 per share (including Rs. 6 premium).
- Total capital receipt of Rs. 22.20 crores from 16 allottees representing the balance 75% of the warrant price.
- Paid-up equity capital increased by 53.8%, rising from Rs. 34.37 crores to Rs. 52.87 crores.
- Promoter group participation included Uma Reddy C (27.5 lakh shares) and Chennareddy Rohit Reddy (22.5 lakh shares).
- The conversion was completed within the 18-month statutory period from the original warrant allotment in September 2024.
Kavveri Defence & Wireless Technologies Limited has officially notified the stock exchanges about a change in its corporate email address. The company is replacing its old email ID, companysecretary@kaveritelecoms.com, with a new one, cs@kavveridefence.com. This administrative update was filed on February 20, 2026, to ensure seamless coordination for future regulatory communications. The change reflects the company's updated branding and corporate identity.
- Old email ID companysecretary@kaveritelecoms.com has been decommissioned.
- New official email ID for correspondence is now cs@kavveridefence.com.
- The update was formally submitted to both BSE (590041) and NSE (KAVDEFENCE) on February 20, 2026.
- The filing was authorized by Managing Director Chenna Reddy Shiva Kumar Reddy.
Kavveri Defence & Wireless Technologies Limited has appointed Ms. Vijayalaxmi S Salimath as the Company Secretary and Compliance Officer, effective February 16, 2026. Ms. Salimath is an Associate Member of the ICSI with approximately 3-4 years of experience in corporate compliance and secretarial functions. Her professional background includes experience with listed public sector undertakings and SME IPO compliance management. This appointment is a regulatory requirement to ensure the company adheres to SEBI and Companies Act standards.
- Appointment of Ms. Vijayalaxmi S Salimath (ACS – A68706) as CS and Compliance Officer effective Feb 16, 2026
- Appointee brings 3-4 years of experience in corporate compliance for both listed and unlisted companies
- Expertise includes SEBI Regulations, Companies Act, and preparation of DRHPs for public offerings
- The Board of Directors approved the appointment during their meeting held on February 14, 2026
Kavveri Defence & Wireless Technologies Limited has appointed Ms. Vijayalaxmi S Salimath as the new Company Secretary and Compliance Officer, effective February 16, 2026. Ms. Salimath is an Associate Member of the ICSI (Membership No. A68706) and brings 3-4 years of experience in corporate compliance and secretarial functions. Her professional background includes experience with listed Public Sector Undertakings and handling SME IPO compliance and DRHP filings. This appointment is a routine regulatory requirement to ensure the company adheres to SEBI and Companies Act mandates.
- Ms. Vijayalaxmi S Salimath appointed as CS and Compliance Officer effective February 16, 2026
- Appointee holds ICSI Membership No. A68706 with 3-4 years of experience in corporate compliance
- Experience includes handling stock exchange compliances and DRHP filings for Public Sector Undertakings
- Board of Directors approved the appointment in a meeting held on February 14, 2026
Kavveri Defence & Wireless Technologies Limited has announced the resignation of Ms. Renu Choudhary from her role as Company Secretary and Compliance Officer. The Board of Directors accepted her resignation during a meeting held on February 14, 2026. She was officially relieved of her duties effective from the close of business hours on the same day. This transition is a routine administrative change in the company's management structure.
- Ms. Renu Choudhary resigned as Company Secretary and Compliance Officer effective February 14, 2026.
- The Board of Directors formally noted the resignation in a meeting on February 14, 2026.
- The cessation was effective after the closing of business hours on the date of the announcement.
- The filing was made in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015.
Kavveri Defence & Wireless Technologies reported a sharp decline in performance for Q3 FY26, with consolidated revenue falling to ₹145.14 Lakhs from ₹701.45 Lakhs YoY. The company swung to a consolidated net loss of ₹59.56 Lakhs compared to a profit of ₹221.38 Lakhs in the same period last year. A significant concern is the auditor's note stating that results for six subsidiaries were not included in the consolidated financials. Furthermore, the board approved a material related party transaction involving a ₹72 Lakhs annual rental agreement with the children of the MD and CFO.
- Consolidated revenue from operations dropped 79.3% YoY to ₹145.14 Lakhs in Q3 FY26.
- Reported a consolidated net loss of ₹59.56 Lakhs versus a profit of ₹221.38 Lakhs in Q3 FY25.
- Auditors flagged the exclusion of six key subsidiaries from the consolidated financial results.
- Approved a rental agreement of ₹6 Lakhs per month with relatives of the Managing Director and CFO.
- Standalone revenue fell to ₹50.36 Lakhs with a net loss of ₹75.41 Lakhs for the quarter.
Kavveri Defence & Wireless Technologies has filed its quarterly compliance certificate under SEBI (Depositories and Participants) Regulations, 2018. The document confirms that the company's Registrar and Transfer Agent (RTA) processed all dematerialization requests for the quarter ended December 31, 2025. The RTA verified that physical certificates were mutilated and cancelled, and the depository names were updated in the register of members within 15 days. This is a standard administrative filing ensuring the integrity of the shareholding records.
- Quarterly compliance certificate submitted for the period ending December 31, 2025.
- RTA confirmed dematerialized securities are listed on the BSE and NSE.
- Physical share certificates were cancelled and mutilated within the required 15-day window.
- Filing confirms adherence to SEBI Regulation 74(5) regarding depository participants.
Kavveri Defence & Wireless Technologies Limited has announced the rescission of its previous board resolution dated November 14, 2025, which aimed to change its Registrar and Transfer Agent (RTA). The company had initially planned to replace Integrated Registry Management Services with Satellite Corporate Services. However, the Board has now decided to maintain the status quo to ensure operational continuity. Consequently, Integrated Registry Management Services will continue to act as the company's RTA, and the appointment of Satellite Corporate Services stands cancelled.
- Board rescinded Resolution No. 05 dated November 14, 2025, via a circular resolution on January 12, 2026.
- The appointment of M/s. Satellite Corporate Services Private Limited as the new RTA has been cancelled with immediate effect.
- M/s. Integrated Registry Management Services Private Limited will continue as the existing Registrar and Share Transfer Agent.
- The decision was driven by the need for operational requirements and continuity of services for the company's shareholders.
Kavveri Defence & Wireless Technologies Limited has announced the closure of its trading window starting January 1, 2026, in compliance with SEBI (Prohibition of Insider Trading) Regulations. This closure is ahead of the declaration of the company's unaudited financial results for the quarter ending December 31, 2025. The trading window will remain closed for all designated persons and their immediate relatives until 48 hours after the results are made public. This is a standard regulatory procedure for listed companies in India to prevent insider trading during sensitive periods.
- Trading window closure effective from January 1, 2026.
- Closure pertains to the unaudited financial results for the quarter ended December 31, 2025.
- The window will reopen 48 hours after the official declaration of financial results.
- Compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015.
Kavveri Defence & Wireless Technologies has successfully designed and developed a dual-polarized, high-gain antenna system for drone deployments for the Indian Armed Forces. This antenna system was engineered in-house and shipped to a key defence customer. Kavveri's system was chosen over a North American supplier, marking a step towards self-reliance. This achievement strengthens Kavveri’s position as a provider of mission-critical wireless systems.
- Developed dual-polarized, high-gain antenna system
- Product engineered in a compact and ruggedized form factor
- Development completed under a compressed timeline for emergency procurement
- Kavveri's antenna system chosen over a North American supplier
Financial Performance
Revenue Growth by Segment
Consolidated revenue grew by 979.65% YoY, rising from INR 1.59 Cr in FY24 to INR 17.12 Cr in FY25. Standalone revenue grew from zero in the previous year to INR 14.77 Cr in FY25, marking the first year of significant operational activity after a period of decline.
Geographic Revenue Split
Not disclosed in available documents; however, the company identifies as an export-oriented business with overseas subsidiaries.
Profitability Margins
Consolidated Net Profit Margin stood at 37.42% (INR 6.41 Cr profit on INR 17.12 Cr revenue) for FY25, compared to a net loss in FY24. Standalone Net Profit Margin was 36.90% (INR 5.45 Cr profit on INR 14.77 Cr revenue). These margins are heavily influenced by one-time write-backs of loans and payables.
EBITDA Margin
Consolidated EBITDA margin was 39.28% (INR 6.72 Cr) in FY25, a significant recovery from the negative EBITDA of INR 0.88 Cr in FY24. This improvement is driven by the resumption of operations and execution of new orders.
Capital Expenditure
Depreciation for FY25 was INR 0.32 Cr, up 64.88% from INR 0.19 Cr in FY24, suggesting minor additions to fixed assets, though specific planned CAPEX figures are not disclosed.
Credit Rating & Borrowing
CRISIL suspended the company's ratings (previously for bank facilities of INR 93.5 Cr) as of April 2013 due to non-cooperation and lack of information. Borrowing costs are not explicitly stated, but the company is currently infusing funds through share capital for business development.
Operational Drivers
Raw Materials
RF engineering components and specialized wireless hardware materials, though specific material names are not listed.
Capacity Expansion
The company is currently focused on 'scalable operations' and has resumed operational activity with a turnover of INR 14.77 Cr. Specific MT/unit capacity is not disclosed.
Raw Material Costs
Total expenditure for FY25 was INR 15.40 Cr (Consolidated). Specific raw material cost as a percentage of revenue is not broken down, but the company is focused on R&D to optimize production.
Manufacturing Efficiency
The company is in a recovery phase; FY25 represents the first year of recorded operational activity after several years of decline, indicating a move from 0% to active utilization.
Strategic Growth
Growth Strategy
The company aims to achieve growth through a shift toward secure, localized, and high-performance communication solutions. Key pillars include R&D investment, strategic partnerships, and the infusion of funds through share capital to support business development and execute the future sales order pipeline.
Products & Services
Next-generation wireless infrastructure, secure communication solutions, RF engineering services, and wireless technology products.
Brand Portfolio
Kavveri Defence & Wireless Technologies (formerly Kavveri Telecom Products).
New Products/Services
Next-generation wireless infrastructure and secure localized communication solutions are being developed through R&D, though specific revenue contribution percentages are not disclosed.
Market Expansion
Targeting sectors requiring secure and reliable wireless communication, including defense and export-oriented markets.
Strategic Alliances
The company is focused on forming strategic partnerships to solidify its role as a provider of wireless infrastructure.
External Factors
Industry Trends
The industry is shifting toward secure, high-performance wireless infrastructure. Kavveri is positioning itself as a trusted provider of localized solutions to meet rising demand across multiple sectors.
Competitive Landscape
The company operates in the wireless infrastructure and defense communication space, facing competition from both domestic and international RF engineering firms.
Competitive Moat
The company's moat is built on specialized RF engineering talent and R&D in wireless technology. However, sustainability is threatened by a net worth erosion in subsidiaries and a qualified audit opinion regarding its ability to continue as a going concern.
Macro Economic Sensitivity
Highly sensitive to changes in Government regulations, tax laws, and defense spending policies which dictate the demand for localized communication solutions.
Consumer Behavior
Rising demand for secure and reliable wireless communication solutions across multiple sectors is driving the company's order pipeline.
Geopolitical Risks
Global landscape shifts toward localized and secure communication solutions provide a tailwind, but changes in international trade barriers could affect export operations.
Regulatory & Governance
Industry Regulations
Operations are subject to defense and export-oriented regulations, as well as the Companies Act, 2013. The company has noted delays in transferring required amounts to the Investor Education and Protection Fund.
Taxation Policy Impact
The company reported a provision for taxation of INR 0 in FY25 (Consolidated) due to historical losses, compared to a small credit of INR 0.81 lakhs in FY24.
Legal Contingencies
The company has disclosed the impact of pending litigations in its financial statements, though specific case values in INR are not provided in the summary. There is a noted discrepancy in margin money deposits (INR 11.77 lakhs) and interest receivables (INR 5.59 lakhs) where recovery is doubtful.
Risk Analysis
Key Uncertainties
Material uncertainty exists regarding the company's ability to continue as a 'Going Concern' due to accumulated losses of INR 85.63 Cr. This poses a potential 100% risk to business continuity.
Third Party Dependencies
High dependency on future sales orders and fund infusions through share capital to sustain operations.
Technology Obsolescence Risk
The company faces high technology risk in the fast-evolving wireless sector, which it attempts to mitigate through R&D and hiring specialized RF engineers.
Credit & Counterparty Risk
The auditor noted an absence of confirmations for trade payables, other current liabilities, and advances received, making the extent of actual liabilities uncertain.