Chalet Hotels Limited has informed the Exchange about Redemption of
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Chalet Hotels has redeemed 10,000 Non-Cumulative, Non-Convertible Redeemable Preference Shares (6,000 Series A and 4,000 Series B) on September 23, 2025. These preference shares had a face value of Rs. 1,00,000 each and carried a 0% coupon (no dividend). The total redemption amount is Rs. 1,000 million (Rs. 100 crore), paid at par from the company's distributable profits. This is a routine capital structure cleanup involving low-cost, non-dividend-paying instruments and not an equity share action.
The redemption is funded entirely from accumulated profits and involves preference shares (not equity), so it has no direct impact on equity shareholders or earnings per share. It simplifies the capital structure by retiring zero-coupon instruments, with no cash drain on future operations.