Based on submissions made by the Megasoft company, both NSE and BSE have accorded approval dated February 18, 2021, for reclassification of holdings of Ravindra Sannareddy and his family from ‘Promoter & Promoter Group Category’ to Public Category in the Company.
Considering the request of Ravindra Sannareddy, who promoted Megasoft in June 1999 and has been instrumental in the growth of the company, to opt out of Promoter category, the Board , through a letter dated October 21, 2020 informed the bourses for reclassification of holdings of Ravindra Sannareddy and his family from ‘Promoter & Promoter Group Category’ to Public Category in the Company, under the provisions of Regulation 31A of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Sannareddy said that he has been keeping out of the company’s business activities for a long time, after the merger of Xius with Megasoft. He came out of the Directorship and Chairmanship of the Board in September 2012 itself. Since his equity stake has significantly reduced after the merger of Xius, and the fact that he is no way concerned with the management of the company for a very long period, he has requested that he is no longer be classified as the promoter, and hence the re-classification was necessitated and approved.