BSEKeto Motors LtdHighNegative
Announced Fri, 11 Jul · 18:46 IST

Intimation of Record date

Corporate Actions View source PDF
Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

The company has fixed July 25, 2025 as the record date for a major capital reduction under a Resolution Plan approved by the NCLT Hyderabad Bench on June 12, 2025. Under this plan, the entire shareholding of the erstwhile promoter group (100%) and up to 95% of public shareholders' equity capital will be reduced and extinguished. Shareholders will receive a cash pay-out of Rs.3.70 per equity share for the extinguished portion. Additionally, public shareholders will receive 1 new equity share of Rs.10 for every 20 old shares held, effectively consolidating their residual holding. This is part of the company's corporate insolvency resolution process under the Insolvency and Bankruptcy Code, 2013.

Likely market impact

This is significantly negative for existing shareholders — they stand to lose up to 95% of their shareholding value, receiving only Rs.3.70 per share as compensation for the extinguished shares. The residual 1-for-20 consolidation means shareholders will hold only 5% of their previous quantity (minus the extinguished portion), reflecting the resolution of an insolvency situation.