Corrigendum to EGM Notice to be held on 29.10.2025
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Awaiting price reaction for this filing.
The company has issued a corrigendum to its earlier EGM notice (originally dated October 7, 2025) ahead of the Extra-Ordinary General Meeting scheduled for October 29, 2025 at 2:00 PM via video conferencing. The sole business is seeking shareholder approval to issue up to 7,25,00,000 (7.25 crore) fully convertible equity warrants on a preferential basis at Rs. 13.50 per warrant, aggregating to about Rs. 97.88 crore. Warrants carry a Rs. 3.50 premium over the Rs. 10 face value and must be exercised within 18 months; 25% of the price is payable upfront. There are 17 proposed allottees – one promoter entity (Torextron Ventures Pvt Ltd, getting 1.30 crore warrants) and 16 non-institutional public individuals – all of whom currently hold nil equity in the company. The floor price of Rs. 13.33 was determined as per SEBI ICDR pricing formula, and the entire proceeds are earmarked for working capital needs. Assuming full conversion, the total share count expands from 69.61 lakh to 7.94 crore equity shares, diluting promoter holding from 63.03% to 22.00%, while non-promoter public shareholding rises to about 76.83%. There will be no change in management control.
The preferential warrant issue means significant potential dilution for existing shareholders – promoter stake will nearly halve on full conversion and overall equity base increases roughly 11x – though no change of control occurs. The Rs. 97.88 crore infusion is positive for working capital but warrants issued at just Re. 3.50 premium to face value and the shares being described as 'infrequently traded' suggest the stock may react with short-term pressure. Existing minority shareholders should weigh the heavy dilution against the company's stated working capital need.