Allotment of Equity shares as per NCLT order
Awaiting price reaction for this filing.
J.R. Foods Limited (Scrip Code 530915) is implementing an NCLT-approved resolution plan dated July 24, 2025, under which Datacipher Education Services Pvt. Ltd. has emerged as the Successful Resolution Applicant. As part of the plan, all existing promoter shares (49,20,792 shares, 51.80%) will be cancelled to zero, and public shareholders will retain only 1 share for every 10 held — meaning those owning 9 or fewer shares will be completely wiped out with no cash compensation. Post-resolution, the SRA and its associates will hold about 94.08% of the equity, with public shareholders left with just 5.92%. The total share base will expand to roughly 1.37 crore shares through new allotments worth about Rs. 136.9 crore, including a merger with Datacipher Solutions Pvt. Ltd. and infusion by strategic investors. The registered office will shift from Puducherry to Hyderabad (Telangana), the company will rename itself to Datacipher Limited, and a completely new board of directors will take charge. Minimum public shareholding of 5% will be achieved initially and raised to 25% within 3 years as per SEBI norms.
This is effectively a complete change of control with massive value destruction for existing shareholders — public investors lose 90% of their holdings with no compensation, while the stock will trade on a fundamentally different business after the merger. Expect extreme volatility, possible sharp downward repricing, and near-total exit opportunity loss for small retail holders.