Intimation for Increase in Authorised Share Capital
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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Rita Finance and Leasing's board has approved increasing the authorised share capital from Rs. 10 crore to Rs. 16 crore, subject to shareholder approval via postal ballot. The company plans to raise funds by issuing up to 60 lakh convertible warrants at Rs. 20 per warrant (including premium), with each warrant convertible into one equity share of Rs. 10 face value within 18 months. Allottees must pay 25% upfront, with the remaining 75% due upon warrant exercise; unexercised warrants will lapse after 18 months. The warrants are proposed to be allotted to 18 specific allottees, including promoter-linked entities, HUFs, and corporate bodies, none of whom currently hold shares in the company.
This is a dilutive preferential issue — if all warrants are exercised, the share count could expand significantly (post-issue top holders would own around 5% each), which may weigh on existing shareholders through dilution. However, the company is raising fresh capital, which could support business growth if deployed effectively.