VISA Chrome completes ACRE settlement after Rs 89.55 crore sale

VISA Chrome Limited completed repayment of its remaining ACRE settlement balance and received a no-dues certificate dated November 11, 2026, after Assets Care and Reconstruction Enterprise (ACRE) invoked and sold 2.38 crore pledged shares for Rs 89.55 crore during the quarter ended September 30, 2026.

How did VISA Chrome complete its ACRE settlement?

VISA Chrome completed the ACRE settlement by making full repayment of the balance settlement amount under the sanctioned restructuring and settlement terms. The company said it received ACRE's no-dues certificate on November 11, 2026, although the filing does not disclose the original settlement amount, the final balance repaid directly, or the date of that payment.

The settlement followed the invocation of collateral during the quarter ended September 30, 2026. ACRE had security over VISA Chrome shares pledged against the company's borrowings, and the filing states that the proceeds were appropriated in accordance with the sanction letter governing the restructuring and settlement.

The September 2026 settlement developments came after an earlier loan-related accounting adjustment. For the year ended March 31, 2026, VISA Chrome reported an exceptional item of Rs 1,089.11 crore, representing the write-back of the difference between the outstanding loan exposure and the settlement amount; no exceptional item was reported for the September 2026 quarter.

What happened to VISA Chrome's pledged shares?

ACRE invoked and sold 2,37,87,833 VISA Chrome equity shares, equivalent to 2.38 crore shares, for aggregate consideration of Rs 89.55 crore in the quarter ended September 30, 2026. The shares had been pledged as collateral security against VISA Chrome's borrowings under the sanctioned settlement arrangement.

VISA Chrome said the Rs 89.55 crore amount was recognised and transferred to capital reserve in accordance with Indian Accounting Standard 32 and Indian Accounting Standard 109. The filing does not disclose the sale price per share, the buyers of the shares, the dates of individual sales, or the resulting change in shareholding.

Paid-up equity share capital stood at Rs 145.79 crore as of September 30, 2026, compared with Rs 129.29 crore on March 31, 2026. VISA Chrome's equity shares have a face value of Rs 10 each, but the financial-results notes do not link the increase in paid-up capital to the shares sold by ACRE.

How did VISA Chrome's borrowings and balance sheet change?

VISA Chrome's current borrowings declined to Rs 44.25 crore on September 30, 2026 from Rs 354.25 crore on March 31, 2026, a reduction of Rs 310 crore. Its cash-flow statement for the half year ended September 30, 2026 separately reports repayment of borrowings of Rs 220.45 crore.

The balance sheet still showed current liabilities of Rs 678.91 crore against current assets of Rs 153.55 crore at September 30, 2026. Total equity remained negative at Rs 112.17 crore, despite improving from negative Rs 219.86 crore at March 31, 2026.

The disclosed reduction in current borrowings exceeds the Rs 220.45 crore repayment line in the half-year cash-flow statement. VISA Chrome's filing identifies the Rs 89.55 crore pledged-share transaction and its capital-reserve treatment, but it does not provide a line-by-line reconciliation of the borrowing movement, the settlement mechanics and cash flows.

What do VISA Chrome's September 2026 results and risks show?

VISA Chrome reported a net loss of Rs 21.94 crore for the quarter ended September 30, 2026, compared with losses of Rs 9.56 crore in the June 2026 quarter and Rs 20.22 crore in the September 2025 quarter. Revenue from operations rose to Rs 135.39 crore from Rs 120.44 crore sequentially and Rs 74.70 crore a year earlier, while total expenses were Rs 157.47 crore.

For the half year ended September 30, 2026, the company recorded a loss of Rs 31.50 crore, widening from a loss of Rs 15.90 crore in the corresponding 2025 period. Half-year revenue increased to Rs 255.83 crore from Rs 245.68 crore, but expenses rose to Rs 287.53 crore from Rs 266.83 crore; VISA Chrome reports ferro alloys as its sole operating segment.

Operating cash flow was Rs 178.19 crore in the six months ended September 30, 2026, against Rs 6.82 crore in the prior-year period. Financing activities used Rs 176.05 crore, including Rs 220.45 crore of borrowing repayments, partly offset by Rs 49.50 crore raised through shares issued against warrants.

The statutory auditors' November 12, 2026 review report highlighted material uncertainty related to going concern, citing accumulated losses, current liabilities substantially above current assets and fully eroded net worth. Management has prepared the accounts on a going-concern basis on the assumption that financial health will improve with greater working-capital availability, while operations continue under a conversion arrangement.

VISA Chrome also said its operations are continuing at reduced capacity while its dispute with the State Pollution Control Board, Odisha remains unresolved. A Single Judge disposed of the writ petition on October 9, 2026 with liberty to approach the regulator, and VISA Chrome has filed an appeal before the Division Bench, where the matter remains sub judice.

Conclusion

VISA Chrome has reached the disclosed endpoint of its ACRE restructuring settlement: the balance was fully repaid, the lender issued a no-dues certificate on November 11, 2026, and 2.38 crore pledged shares were sold for Rs 89.55 crore. The settlement coincided with a substantial decline in reported current borrowings, although negative equity and the current-liability gap remained at September 30, 2026.

The next issues to watch are management's plan to improve working-capital availability, generate future cash flows and return to profitability, which underpin the going-concern assumption. The Division Bench proceedings over the Consent to Operate also remain material because VISA Chrome says the unresolved production-capacity matter is restricting operations.