Chandra Bhagat Pharma Limited has received in-principle approval from BSE Limited for a preferential issue of convertible warrants. The approval was granted on 12th October, 2026 via reference number LOD/PREF/DA/FIP/931/2026-27.

The company plans to issue 66,00,000 convertible warrants that are convertible into 66,00,000 equity shares of ₹10 each. The issue price will be not less than ₹44 per warrant. The warrants will be issued to both promoters and non-promoters on a preferential basis.

Conditions and Compliance Requirements

The approval is conditional and requires the company to:

  • Ensure issue and allotment strictly complies with Companies Act, 2013, Securities Contracts (Regulation) Act, 1956, SEBI Act, 1992, Depositories Act, 1996, and all relevant Rules, Regulations, and Guidelines
  • Comply specifically with Chapter V of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 (ICDR Regulations)
  • Comply with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (LODR Regulations)
  • Obtain all necessary statutory and other approvals

Internal Control Requirements

The company must strengthen internal controls to monitor trades executed by proposed allottees in the company's scrip before securities allotment. Specific requirements include:

  • Obtaining undertakings from allottees confirming they will not engage in intra-day trading or any sale in the company's scrip until the security allotment date
  • The responsibility for verification and compliance rests solely with the issuer company, particularly regarding Regulation 167(6) of SEBI ICDR regulations, 2018
  • Any non-compliances observed post-undertaking may impact the listing of such shares

Post-Allotment Requirements

Upon allotment of securities, the company must:

  • Make a listing application without delay with applicable fees under Regulation 14 of LODR Regulations
  • Submit the listing application within twenty days from the date of allotment as per Schedule XIX - Para (2) of ICDR Regulations and SEBI circular no. SEBI/HO/CFD/PoD-2/P/CIR/2023/00094 dated June 21, 2023
  • Non-compliance with the 20-day requirement will attract fines as specified in the SEBI circular

Additional Notes

For convertible securities, depositories will automatically release excess lock-in period of Pre-Preferential Holding of allottees without requiring any NOC from the Exchange, in compliance with SEBI(ICDR) Regulations, 2018.

The Exchange reserves the right to withdraw this in-principle approval at any stage if submitted information is found incomplete, incorrect, misleading, false, or if it contravenes any Rules, Bye-laws, Regulations, or Guidelines.