The Exchange has received the Disclosures of reasons for encumbrance by promoter of listed companies under Reg. 31(1) read with Regulation 28(3) of SEBI (SAST) Regulations, 2011 on January ....
SETL · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Promoter M/s S2 Engineering Services has created a pledge on 1,14,57,143 equity shares (5.74% of total share capital) on December 31, 2025. This pledge covers about 61% of the promoter's entire holding of 1,88,26,000 shares (9.44% of the company). The shares have been pledged in favour of two lenders: SMFG India Credit Co Ltd (53,57,143 shares against Rs. 30 crore) and Tata Capital Limited (61,00,000 shares against Rs. 42.7 crore). The filing explicitly confirms that encumbered shares exceed 50% of promoter shareholding. The borrowed funds are intended entirely for personal use by the promoters and are not for the benefit of the listed company or its subsidiaries.
This is a cautionary signal for shareholders — over 60% of the promoter's stake is now pledged for personal borrowings, which increases the risk of forced selling if share prices decline and margin calls are triggered. Since the loan proceeds are not being used for the company, minority shareholders bear the pledge risk without any corresponding benefit to the business.