Synopsis:
Silverline Technologies resolved a long-standing Rs. 35.98 crore liability with Apex Urban Co-operative Bank through a Rs. 26 crore court-approved settlement, significantly improving its financial stability.
Known for its presence in technology and IT services, the company has recently achieved a major breakthrough by resolving a prolonged legal and financial dispute. A court-approved settlement has significantly reduced its liability, offering clarity and stability to its balance sheet, which is the focus of this news update.
Silverline Technologies Limited‘s stock, with a market capitalisation of Rs. 293.14 crores, rose to Rs. 18.91, hitting a high of up to 5 percent from its previous closing price of Rs.18.01. Furthermore, the stock over the past year has given a return of 101.50 percent.
Debt Resolution
Silverline Technologies Limited has successfully resolved a long-standing legal and financial dispute with Apex Urban Co-operative Bank (in liquidation) through a court-approved settlement. The company agreed to a final settlement amount of Rs. 26 crores, which is significantly lower than the original claim of Rs. 35.98 crores, resulting in a reduction of nearly Rs. 10 crores or around 28%. The settlement was formalized under consent terms recorded before the Bombay High Court.
To date, Silverline Technologies has paid Rs. 7 crores of the settlement amount, with the remaining Rs. 19 crores scheduled to be paid in structured tranches via post-dated cheques between October and November 2025. All payments are planned to be completed by November 20, 2025, and are drawn on Axis Bank, Thane branch. With this settlement, all civil and criminal proceedings related to the matter have been formally withdrawn.
The company’s board approved this settlement unanimously and authorized Mr. Yakin Kumar Bansilal Joshi to oversee and execute the settlement terms, including legal and regulatory appearances. This resolution eliminates a significant legacy liability that had been disclosed contingently, improving the company’s financial profile and visibility for lenders, rating agencies, and investors.
This legal closure not only demonstrates Silverline Technologies’ strong governance and fiscal prudence but also frees up management focus and capital to pursue its core technology initiatives. The company is now better positioned to advance in areas like AI product development, cloud services, and cybersecurity frameworks, signaling a strategic step forward after years of uncertainty around this dispute.
Q1 Financial Update
The company delivered an exceptional performance in Q1FY26 with revenue at Rs. 100.09 crore, compared to Rs. 0.76 crore in Q1FY25 and Rs. 32.26 crore in Q4FY25. This translates to a YoY growth of 13,056% and a QoQ growth of 210%, showing strong business momentum and scalability in operations.
Profit also recorded a sharp jump to Rs. 11.15 crore in Q1FY26, against Rs. 0.02 crore in Q1FY25 and Rs. 0.45 crore in Q4FY25. This marks an extraordinary YoY growth of over 55,600% and QoQ growth of 2,393%, reflecting enhanced operational efficiencies. On the balance sheet side, borrowings have risen from Rs. 3 crore in March 2020 to Rs. 34 crore in March 2025. Most of the debt is from Apex Urban Co-operative Bank. Despite this rise in leverage, the company maintains a comfortable Debt-to-Equity ratio of 0.28, indicating a healthy capital structure.
Written By Fazal Ul Vahab C H
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
