Announced Wed, 7 Jan · 18:01 IST

Sheetal Cool Products Limited has informed the Exchange about Preferential issue

Fund Raising View source PDF

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Sheetal Cool Products Limited's board, on January 7, 2026, approved raising up to Rs. 28 crore through a preferential issue of 8,40,000 convertible warrants at Rs. 317 per warrant, each convertible into one equity share of Rs. 10 face value. The allottees are four non-promoter parties: Orbit Financial Capital (a partnership firm) getting 5,40,000 warrants, and three individuals — Amit Sheth, Ashish Sheth, and Mamta Sheth — getting 1,00,000 warrants each. All four appear to belong to the same Sheth family. Investors need to pay 25% upfront and the balance 75% within 18 months on exercise of the warrants, after which the equity shares will be allotted. An EGM has been scheduled for February 5, 2026, to seek shareholder approval. On full conversion, Orbit Financial Capital will hold 4.76% of the expanded share capital and each of the three individuals will hold 0.88%.

Likely market impact

This is a small fundraise from a closely related group of non-promoter allottees, which may raise concerns about related-party pricing or future control dynamics, though no promoter holding changes immediately. Existing shareholders may face dilution if all warrants are exercised, and need to vote on the proposal at the February 5, 2026 EGM.