This is to inform all the stakeholders that Board of Directors in their meeting held today has allotted 5000000 (Fifty Lakhs) Equity Shares to Mr Rajendra Kamalkant Chodankar (Non Promoter) ....
Awaiting price reaction for this filing.
The Board of Euro Asia Exports Limited approved the allotment of 50 lakh equity shares to Mr Rajendra Kamalkant Chodankar (a non-promoter individual) at Rs 10 per share on a preferential basis, raising Rs 5 crore. The company's paid-up equity capital has more than doubled from Rs 3.72 crore (37.19 lakh shares) to Rs 8.72 crore (87.19 lakh shares). As a result of this allotment, the promoter group's stake was diluted from 6.83% to 2.91%, while public shareholding increased from 93.17% to 97.09%. The shares will rank pari-passu with existing equity shares, and an EGM is scheduled for 5th May 2025. Note: The filing refers to RRP Defense Ltd in the headline but is officially from Euro Asia Exports Limited (Scrip Code: 530929).
Existing shareholders face significant dilution as the total share count more than doubles and the promoter stake nearly halves. The preferential issue at face value (Rs 10) with no premium is generally a negative signal for minority shareholders, though the Rs 5 crore infusion provides additional capital to the company.