Announced Thu, 14 Aug · 20:51 IST

Allotment of 28,57,500 no of Equity Shares on a Preferential basis pursuant to a special resolution passed on 13 June 2025 through Postal Ballot and in pursuance of the in-principle approval ....

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AI summary

Hari Govind International Ltd has allotted 28,57,500 equity shares at face value of Rs. 10 each (no premium) on a preferential basis, raising Rs. 2.86 crores from 10 allottees. The company's paid-up capital has increased from Rs. 5 crore (50 lakh shares) to Rs. 7.86 crore (78.57 lakh shares), a dilution of about 57%. Key allottees include proposed new promoters Shaju Thomas (10 lakh shares) and Linta P Jose (5 lakh shares), along with non-promoter investors. Post-allotment, combined with a Share Purchase Agreement of 30 lakh shares, Shaju Thomas will hold around 44.54% of the company, signalling a change of control. An open offer under SEBI Takeover Regulations is expected from the new promoters.

Likely market impact

Existing shareholders face significant dilution (~57% increase in share count) at face value with no premium, which is promoter-friendly terms. This is effectively a change of control — new promoters are taking over with a dominant stake, and an open offer to public shareholders is likely. The small fundraising size (Rs. 2.86 cr) suggests this is primarily a control transaction rather than a capital-raising exercise.