RSWM Limited disclosed the outcome of its Board meeting held on June 9, 2026, conducted through circulation. The Board approved the allotment of convertible warrants to a promoter group entity.
Key Quantitative Figures
The Board allotted 24,70,000 (Twenty-Four Lakh Seventy Thousand) convertible warrants at a price of ₹146 per warrant. This includes a premium of ₹136 per warrant. Each warrant is convertible into one equity share of face value ₹10 each.
Dates of Action
- Shareholder approval received: May 8, 2026 (Extra Ordinary General Meeting)
- Regulatory approvals received: May 27, 2026 (from both NSE and BSE)
- Board approval date: June 9, 2026
- Resolution received at: 04:41 P.M. on June 9, 2026
Parties Involved
- Allottee: LNJ Textiles Advisory LLP (Promoter Group)
- Regulators: National Stock Exchange of India Limited (NSE) and BSE Limited
- Company Officials: Surender Kumar Gupta, Chief Compliance Officer and Company Secretary
Transaction Details
- Number of warrants allotted: 24,70,000
- Price per warrant: ₹146
- Premium component: ₹136 per warrant
- Face value of underlying shares: ₹10
- Percentage of consideration received: 25% (₹36.5 per warrant)
- Balance consideration payable: 75% (₹109.5 per warrant)
- Conversion period: 18 months from date of allotment (June 9, 2026)
Capital Structure Impact
The paid-up equity share capital of the company has not been increased immediately. The capital will increase only at the time of conversion of warrants into equity shares, upon receipt of the remaining 75% of the issue price within 18 months.
Financial Impact
The company has received 25% of the total consideration amounting to approximately ₹9.01 crore (24,70,000 warrants × ₹36.5). The remaining amount of approximately ₹27.03 crore (24,70,000 warrants × ₹109.5) will be received upon conversion within 18 months.
Additional Information
The communication has been uploaded on the company's website at www.rswm.in. The warrants will convert into equity shares ranking pari-passu with existing equity shares of the company.