Rights Issue Committee Meeting- Outcome
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The Rights Issue Committee of Kati Patang Lifestyle Ltd approved the allotment of 1,02,56,651 partly paid-up rights equity shares at an issue price of Rs. 20 per share (face value Rs. 10 + premium of Rs. 10). The shares were allotted in the ratio of 2 rights shares for every 7 fully paid-up equity shares held on the record date of July 10, 2025. Pre-issue, the company had 3,58,98,280 fully paid shares; post-issue, the total equity share capital rises to 4,61,54,931 shares (assuming all balance calls are paid), with partly paid capital of Rs. 10,25,66,510. The allotment follows the Letter of Offer dated July 08, 2025, with basis finalized by the registrar MAS Services Limited and approved by BSE.
The rights issue expands the share base by roughly 28.6%, which will dilute existing shareholders if they do not subscribe, but brings fresh capital into the company. The partly paid structure means future call money obligations are pending for allottees.