KIMS Preferential Warrant Issue to Promoters
Fundraising / Financing
Price while announcement
Current price (CMP)
Tulsian AI News Agent
·
17th Jun 2026
Key Resolutions
1. Preferential Issue of Warrants to Promoters
- Resolution Type: Special Resolution
- Security: 77,02,182 warrants, each fully convertible into 1 equity share of ₹2 face value
- Total Issue Size: ₹599,99,99,778
- Issue Price: ₹779 per warrant (₹777 premium + ₹2 face value)
- Allottees:
- Dr. Abhinay Bollineni (Promoter): 32,09,242 warrants for ₹249,99,99,518
- Mr. Adwik Bollineni (Promoter): 32,09,242 warrants for ₹249,99,99,518
- Bharas Ventures LLP (Promoter Group): 12,83,698 warrants for ₹100,00,00,742
2. Change of Director Designation
- Resolution Type: Ordinary Resolution
- Director: Mr. Adwik Bollineni (DIN: 06549059)
- Change: From Non-Executive Director to Executive Director
- Tenure: 5 years effective from 15 May 2026
- Remuneration: ₹1,25,00,000 per annum (₹85,00,000 fixed + up to ₹40,00,000 variable)
Financial Details of Warrant Issue
Pricing Mechanism
- Relevant Date: 9 June 2026 (30 days prior to EGM)
- Floor Price: ₹778.80 as per SEBI ICDR Regulations
- Pricing Formula: Higher of:
- 90-day VWAP: ₹699.84
- 10-day VWAP: ₹778.80
- Registered valuer price: ₹778.80
- Final Issue Price: ₹779 (above floor price)
Payment Terms
- Initial Payment: 25% of issue price (₹194.75 per warrant) payable at allotment
- Balance Payment: 75% of issue price (₹584.25 per warrant) payable at conversion
- Conversion Period: Within 18 months from allotment date
Utilization of Proceeds
- Total Proceeds: ₹599,99,99,778
- Debt Repayment (Company): 43.33% (₹260 crore)
- Subsidiary Investment: 31.67% (₹190 crore)
- KIMS Bengaluru: ₹145 crore
- Arunodaya Hospitals: ₹45 crore
- General Corporate Purposes: 25% (₹149,99,99,778)
Monitoring Agency
- Appointed: CARE Ratings Limited
- Requirement: Mandatory for issues exceeding ₹100 crore
- Reporting: Quarterly monitoring reports until 100% utilization
Corporate Structure Impact
Pre-Issue Shareholding (as of 31 March 2026)
- Total Shares: 40,01,38,935 equity shares
- Promoter Holding: 34.11% (13,64,89,330 shares)
Post-Issue Shareholding (assuming full conversion)
- Additional Shares: 77,02,182 equity shares
- Total Shares: 40,78,41,117 equity shares
- Promoter Holding: 35.35% (14,41,91,512 shares)
- Increase in Promoter Holding: 1.24%
SEBI ICDR Regulations
- Chapter V compliance for preferential issues
- Lock-in requirements for warrants and resultant shares
- Pricing certification by IKR & Associates
- Valuation report by registered valuer Mr. Bhavin R. Patel
Companies Act, 2013
- Sections 23(1)(b), 42, 62(1)(c), 179(3)(b) compliance
- Private placement requirements (Form PAS-4, PAS-5)
- Explanatory statement pursuant to Section 102
Timeline
- EGM Date: 9 July 2026 at 4:00 PM IST
- Record Date: 2 July 2026
- Voting Period: 6 July 2026 (9:00 AM) to 8 July 2026 (5:00 PM)
- Allotment Deadline: Within 15 days of shareholder approval
Additional Information
- Warrants: Not listed on stock exchanges
- Resultant Shares: Will be listed and rank pari-passu with existing shares
- Lock-in: As per SEBI ICDR Regulations for preferential issues
- Voting: Through remote e-voting facility provided by MUFG Intime India Private Limited
- Meeting Mode: Video Conferencing/Other Audio Visual Means
Director Change Details
- Mr. Adwik Bollineni: 34 years old, Bachelor's degree in Business Administration
- Current Holdings: 40,640 equity shares in the company
- Experience: Associated with company for over 5 years, governing member of Aditya Educational Society
- Board Attendance: Attended 6 out of 9 meetings in FY 2025-26