Company Overview
Shanti Gold International Limited (BSE: 544459, NSE: SHANTIGOLD) is a manufacturer of high-quality 22 Kt CZ casting gold jewellery with manufacturing facilities in Mumbai and plans for expansion into North India and export markets.
Rights Issue Details
The company proposes a rights issue of up to ₹100 crore through issuance of equity shares at a price to be determined to eligible shareholders. The net proceeds of ₹800 million will fund working capital requirements, with the remainder allocated for general corporate purposes (not exceeding 25% of gross proceeds).
Promoter Participation
Promoters (Pankajkumar H Jagawat, Manojkumar N Jain, and Shashank Bhawarlal Jagawat) have confirmed they will not participate in the rights issue, subscribe to additional shares, or renounce their entitlements to specific investors.
Application Process & Compliance
The issue mandates ASBA application process with shares allotted only in dematerialized form to existing depository accounts. Applications require correct DP ID, Client ID, and beneficiary account details with strict compliance to SEBI regulations. The document outlines comprehensive grounds for application rejection and foreign investment restrictions.
Financial Performance
The company showed strong growth with total revenue increasing from ₹7,150.38 million (2024) to ₹20,284.97 million (2026) and net profit after tax growing from ₹139.63 million to ₹1,401.54 million over the same period. However, the company reported negative cash flow from operating activities of (₹2,606.27) million in Fiscal 2026.
Risk Factors & Litigation
The document discloses 71 risk factors including customer concentration, regional concentration, negative cash flows, and significant indebtedness of ₹2,056.04 million. Outstanding litigation includes 4 compounding applications with RoC, 9 tax proceedings involving ₹33.63 million, and criminal proceedings against the MD involving ₹32.53 million.
Corporate Governance & Key Personnel
The company has constituted all required committees including Audit, Nomination and Remuneration, Stakeholders' Relationship, CSR, and Risk Management committees. Key managerial personnel include Company Secretary Vrushti Shah, CFO Shriram Kannan Iyengar, and production/sales heads.
Timeline & Intermediaries
Key dates including issue opening, closing, and allotment remain to be announced, with the board reserving the right to extend the issue period up to 30 days. Intermediaries include Book Running Lead Manager Aryaman Financial Services, Registrar Big Share Services, and Monitoring Agency Acuite Ratings.