ENCLSOED HEREWITH EGM OUTCOME & PROCEEDINGS FOR EGM HELD DON 27/05/2025
Awaiting price reaction for this filing.
Deccan Bearings Ltd held an Extra-Ordinary General Meeting on 27 May 2025 via video conferencing, where all 11 resolutions were passed. Shareholders approved a preferential allotment of 1,78,16,666 equity shares (Rs. 10 face value) to non-promoters. The authorised share capital was increased to Rs. 20 crore (2 crore equity shares of Rs. 10 each) to accommodate this issue. Several directors were appointed or regularised, including Mr. Priyankbhai Ghelani as Managing Director and four others as Independent Directors. Resolutions were also passed to increase borrowing limits and approve loans, investments and guarantees beyond prescribed thresholds under Sections 180, 185 and 186 of the Companies Act, 2013. The EGM lasted about 11 minutes with 11 members attending out of 697 shareholders on the cut-off date.
The preferential issue will result in significant dilution for existing shareholders as nearly 1.78 crore new shares are being issued to non-promoters. The expansion of borrowing and investment limits suggests the company is preparing to raise additional capital and take on more debt, which could be material for minority shareholders.