Disclosure under Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 - Approval of Investment in Subsidiary Company ....
AKCAPIT · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
A. K. Capital Services Ltd has approved an investment of INR 75 crores in its subsidiary, A. K. Capital Finance Limited (AKCFL), by subscribing to 75 lakh Non-Cumulative Compulsorily Convertible Preference Shares (CCPS) at a face value of INR 100 each. AKCFL is an RBI-registered NBFC (NBFC-ND-SI, NBFC-ICC) engaged in lending and investment activities, with a net worth of INR 847.40 crores and a profit after tax of INR 50.09 crores for the nine months ended December 31, 2025. The company already holds 95.12% of AKCFL's equity capital, and post-conversion its holding will be 93.38%. The funds are intended to support AKCFL's general business needs and expansion of operations, and the transaction has already been completed on March 10, 2026, on an arm's length basis.
This is a capital infusion into an existing subsidiary to strengthen its liquidity and fund business growth, rather than a new acquisition. It is a related-party transaction carried out at arm's length, so it should not materially change the consolidated position of the listed entity. The dilution in equity holding from 95.12% to 93.38% post-conversion is minor and unlikely to affect shareholder value significantly.