UGROCAPNSEUgro Capital LimitedHighNeutral
Announced Tue, 20 May · 18:20 IST

Ugro Capital Limited has informed the Exchange regarding Board meeting held on May 20, 2025.

Fund Raising View source PDF

UGROCAP · price

Loading chart…

▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Ugro Capital's board, at its May 20, 2025 meeting, approved raising up to INR 400 Crores through a Rights Issue of equity shares (face value INR 10) to eligible existing shareholders. Separately, the board approved a preferential allotment of 49,421,464 compulsorily convertible debentures (CCDs) at INR 185 each, aggregating up to INR 914.30 Crores to over 100 non-promoter allottees. Each CCD will convert into one equity share at INR 185 (including a INR 175 premium) at the end of 18 months from the date of issue. The board also approved increasing the Authorised Share Capital from INR 215 Crores to INR 270 Crores to accommodate the new issuances. Shareholder approval will be sought via a postal ballot running from May 21 to June 19, 2025.

Likely market impact

This is a significant capital raise of over INR 1,300 Crores, which will dilute existing shareholders but strengthen the company's capital base for lending growth. Existing shareholders will get the chance to participate in the Rights Issue to avoid dilution, while the preferential CCD route locks in selected investors at a fixed conversion price of INR 185.