EGM Outcome

The Extra-ordinary General Meeting of Apollo Micro Systems Limited was held on Tuesday, August 4, 2026 through Video Conferencing/Other Audio-Visual Means. All six resolutions set out in the EGM Notice and Corrigendum were approved by members:

  • Resolution No.1 (Ordinary Resolution): Increase of authorized share capital of the Company
  • Resolution No.2 (Special): Issue of Equity Shares on preferential basis to certain identified Non-Promoter Persons/Entities
  • Resolution No.3 (Special Resolution): Issue of Convertible Equity Warrants on preferential basis to Promoter Group and to certain identified Non-Promoter Persons/Entities
  • Resolution No.4 (Special Resolution): Authorization to borrow monies exceeding the Paid-Up Share Capital, Free Reserves and Securities Premium of the Company under Section 180(1)(c) of the Companies Act, 2013
  • Resolution No.5 (Special Resolution): Authorization to create security under Section 180(1)(a) of the Companies Act, 2013
  • Resolution No.6 (Special Resolution): Authorization to give Loans and Guarantees to any bodies corporate(s) and make investments under Section 186 of the Companies Act, 2013

Voting was conducted through remote e-voting and e-voting at the EGM in terms of Section 108 of the Companies Act, 2013. The voting results and Scrutinizer's Report are being submitted separately under Regulation 44 of SEBI Listing Regulations.

Clarifications to NSE Observations

Following NSE's observations on the EGM Notice and Corrigendum regarding the in-principle approval application for the preferential issue, the company provided these clarifications:

A. Resolution Clarification:

Para No.4 of Special Resolution No.2 amended to state: "The monies received by the Company from the Investors for application of the Equity Shares pursuant to this preferential issue shall be kept by the Company in a separate bank account and shall not be utilized for the purpose other than for adjustment against allotment of securities."

B. Pricing Justification:

Since the preferential issue will result in allotment exceeding 5% of post-issue fully diluted share capital, the company obtained valuation from Mr. Hemang Shah, a Registered Valuer (Registration No. IBBI/RV/03/2019/12854) in compliance with Regulation 166A of SEBI ICDR Regulations.

C. Promoter/Director Subscription Intent:

Convertible Equity Warrants will be issued to Mr. Baddam Kanishka Reddy and Mr. Baddam Chanakya Reddy (Promoter Group members) and Mr. G. Seshadri Vasan (Company Secretary). No other promoters, promoter group persons, directors, or key managerial personnel intend to subscribe to the issue.

D. Allottee Details:

Comprehensive list of 111 allottees provided in annexure with complete details including PAN numbers, pre-issue shareholding, number of equity shares and warrants to be allotted, post-issue shareholding, and status.

Allottee Details and Impact

The preferential issue involves 111 allottees receiving either equity shares, convertible equity warrants, or both:

Key Allottee Categories:

  • 50 allottees receiving only equity shares (total: 1,74,73,402 shares)
  • 35 allottees receiving only convertible equity warrants (total: 5,68,99,880 warrants)
  • 26 allottees receiving both equity shares and warrants

Promoter Group Participation:

  • Mr. Chanakya Reddy Baddam: Pre-holding 84,00,600 shares (2.26%), allocated 1,30,50,000 warrants, post-issue holding 2,14,50,600 shares (4.81%)
  • Mr. Kanishka Reddy Baddam: Pre-holding 84,00,600 shares (2.26%), allocated 1,30,50,000 warrants, post-issue holding 2,14,50,600 shares (4.81%)

Non-Promoter Allottees:

109 non-promoter entities and individuals including institutional investors like Nautilus Private Capital LTD (50,00,000 shares, 1.12% post-issue), Maestro Emerging Fund PCC (50,00,000 shares, 1.12% post-issue), Tata Business Cycle Fund (12,00,000 shares, 0.27% post-issue), and various other funds and individuals.

Total Issue Impact:

  • Total equity shares to be allotted: 1,74,73,402 shares
  • Total convertible equity warrants to be allotted: 5,68,99,880 warrants
  • Total post-issue shareholding impact: 9,17,90,420 shares (21.00% of post-issue capital)