Paul Merchants Ltd — Important, 30-06-2026: Company Update

Paul Merchants Limited announced that its wholly-owned subsidiary, Paul Merchants Finance Private Limited, has been reclassified by the RBI. Previously a Middle Layer (NBFC-ML) entity, it is now designated as a Base Layer (NBFC-BL) entity. This shift is due to the subsidiary's asset size for FY 2025-26 falling below Rs. 1,000 Cr. Importantly, Paul Merchants stated that despite this change in regulatory classification, there will be no alteration to the subsidiary's ongoing operations. This move generally implies reduced regulatory complexities for the subsidiary.