Outcome of Board Meeting held today i.e., 05th February, 2026 as per the Regulation 30 of SEBI (LODR) Regulation, 2015. Pursuant to second proviso to Regulation 30(6) of SEBI (Listing ....
Awaiting price reaction for this filing.
The Board of Directors of AVI Polymers Ltd, at a meeting held on February 5, 2026, approved a Rights Issue of fully paid-up equity shares. The company proposes to issue 9,00,00,000 (9 crore) equity shares of face value Rs. 10 each, aggregating to Rs. 90 crore, at an issue price of Rs. 10 per share (at par, no premium). The entitlement ratio is set at 22 new equity shares for every 1 existing share held, which would expand outstanding shares from around 40.9 lakh to 9.4 crore on full subscription — a roughly 23-fold increase. The record date for eligible shareholders is February 11, 2026, with the rights issue opening on February 20, 2026 and closing on March 11, 2026.
This is a massive dilution event for existing shareholders. The 22:1 entitlement ratio is extremely aggressive, and issuing at face value (Rs. 10) with no premium effectively means shareholders must put in significant additional capital to maintain their stake, or face heavy dilution. The stock is likely to react negatively on the announcement due to the sheer scale of equity expansion (~23x).