The board approved a sub-division (stock split) of the company's equity shares in a 1:10 ratio.
One existing equity share with a face value of ₹10 will be subdivided into ten equity shares with a face value of ₹1 each.
This approval is subject to shareholder approval to be obtained at the ensuing Annual General Meeting (AGM) scheduled for 29th August 2026 and other required approvals.
The record date for the stock split will be determined after shareholder approval is obtained and will be communicated in due course.
Rationale: The split is intended to enhance the liquidity of the company's share capital in the market, widen the shareholder base, and make shares more affordable to small investors.
Capital Structure Impact:
Pre-split Authorized Capital: 1,90,00,000 equity shares of ₹10 each.
Post-split Authorized Capital: 19,00,00,000 equity shares of ₹1 each.
The company has only one class of equity shares, which are fully paid-up and rank pari-passu.
The expected time for completion is tentatively within two months from the date of shareholder and any other regulatory approvals.
2. Approval of Alteration in Memorandum of Association
The board approved an alteration to Clause V (Capital Clause) of the company's Memorandum of Association to accommodate the proposed stock split.
The new authorized share capital will be ₹21,00,00,000 (Rupees Twenty One Crore), divided into 19,00,00,000 (Nineteen Crore) equity shares of ₹1 each and 20,00,000 (Twenty Lakh) preference shares of ₹10 each.
This alteration is also subject to shareholder approval at the ensuing AGM.
3. Fund Raising via Rights Issue
The board approved raising funds up to an aggregate amount of ₹49,50,00,000 (Rupees Forty Nine Crore Fifty Lakhs) by issuing equity shares through a rights issue.
The issue will be offered to eligible equity shareholders as on a record date to be notified later.
The final terms and conditions will be decided by the Board of Directors or a Rights Issue Committee.
The issuance is subject to receipt of applicable regulatory and statutory approvals, in accordance with SEBI (ICDR) Regulations, 2018, SEBI (LODR) Regulations, 2015, and the Companies Act, 2013.
4. Approval of Draft Letter of Offer
The board considered and approved the draft Letter of Offer for the rights issue.
This draft will be filed with BSE Limited to obtain in-principle approvals.
