HFCLNSEHFCL Limited· Telecommunication - EquipmentHighNeutral
Announced Mon, 25 May · 17:06 IST

HFCL Limited has informed the Exchange regarding Outcome of the Committee Meeting of the Board of Directors of the Company - Allotment of 7,50,00,000 Warrants convertible into Equity Shares on preferential basis

Warrants ConvertedFund Raising View source PDF

HFCL · price

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Price reaction · full curve 14 horizons · vs prior close
+6.2%1-day move
₹163.03
prior close
₹163.37
base price
After-mkt
timing
5m10m15m30m1D2D3D4D5D7D15D1M2M3M
+0.4+0.8+0.8+2.1+6.2+9.6+11.6+15.9+22.3+14.8+16.0+30.3+17.8
Up moveDown movePending
AI summary

HFCL Limited has allotted 75 crore warrants convertible into equity shares to its promoter group. NextWave Communications Private Limited (Promoter) and Satellite Finance Private Limited (Promoter Group) each received 37.5 crore warrants. The warrant exercise price is ₹74 per share, with 25% (₹18.50) already received as subscription money totaling ₹138.75 crore. Upon full conversion, promoter group shareholding will increase from 12.79% to 16.87%, with NextWave's stake rising from 12.73% to 14.47% and Satellite Finance from 0.06% to 2.40%.

Likely market impact

This preferential allotment to promoters strengthens the promoter group stake in HFCL by over 4 percentage points. The ₹138.75 crore inflow provides capital, though equity dilution will occur upon warrant conversion, potentially affecting other shareholders.