The Board of Directors took note of and deliberated upon the amendments introduced by the Securities and Exchange Board of India under the SEBI (Merchant Bankers) Amendment Regulations, ....
Price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
The board of Galactico Corporate Services Ltd, a SEBI-registered Category I Merchant Banker, met on March 14-15, 2026 to address compliance with the SEBI (Merchant Bankers) Amendment Regulations, 2025. The company must maintain a liquid net worth of Rs 12 crore by December 31, 2026, and plans to initially operate as a Category II Merchant Banker (minimum net worth Rs 7.5 crore by Jan 2027, Rs 10 crore by Jan 2028) while working toward Category I status (Rs 25 crore by Jan 2027, Rs 50 crore by Jan 2028). The board approved the sale of 73.77% of its stake in subsidiary Seven Hills Beverages Limited (SHBL) to Mr. Ronak Shah and Group for Rs 6.68 crore, reducing its holding from 99.77% to 26%, with SHBL and step-down Palwe Pest Control ceasing to be subsidiaries upon completion expected by April 25, 2026. Additionally, Rs 12 crore of unsecured debentures held in subsidiary Instant Finserve will be converted to secured optionally convertible debentures backed by the subsidiary's assets. A postal ballot notice was approved to seek shareholder approval for the divestment.
The divestment is aimed at unlocking capital to meet the stricter SEBI regulatory net worth requirements and refocusing on the core merchant banking business. Shareholders will see a loss of control over SHBL (which had Rs 15 crore in turnover and Rs 5.36 crore net worth), and the company will need to pass a postal ballot to approve the transaction. The restructuring signals a strategic shift toward strengthening regulatory capital but also indicates the company is downsizing its non-core activities to meet compliance deadlines.