Conversion of Warrants into Equity
Price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Vishal Fabrics has converted 2,25,00,000 warrants into an equal number of equity shares at Rs. 30.60 per share (face value Rs. 5, premium Rs. 25.60), collecting about Rs. 51.64 crore as the balance 75% payment from warrant holders. The shares were allotted on a preferential basis to three non-promoter investors: Vikasa India EIF I Fund (1 crore shares, 4.04% post-issue holding), Eminence Global Fund PCC – Eubilia Capital Partners Fund I (75 lakh shares, 3.03%), and Nexpact Limited (50 lakh shares, 2.02%). With this conversion, the company's paid-up equity capital has risen to Rs. 123.80 crore, consisting of 24,76,10,003 shares, and there are no warrants pending conversion anymore.
This is a dilution event — existing shareholders' stake percentage will reduce as fresh equity is issued, though the company has raised fresh capital from foreign/PE-type funds, which can be seen as a vote of confidence by institutional investors. Since no warrants remain outstanding, the overhang of further dilution from this preferential issue is now cleared.