Shine Fashions (India) Limited has successfully approved the conversion of 90,000 warrants into equity shares following the payment of the remaining 75% by the warrant holder. This decision was finalized in the Board of Directors' meeting held on February 3, 2025.

The warrants, issued on a preferential allotment basis in September 2024, had an issue price of Rs. 207 each, which includes a premium of Rs. 202. The conversion now allows for the issuance of 90,000 equity shares at the same price, and the shares will be allotted to M/s Securocrop Securities India Pvt. Ltd., a non-promoter category investor.

Details of the Issuance and Impact on Shareholding

The 90,000 equity shares will have a face value of Rs. 5 each and a premium of Rs. 202, totaling Rs. 1.86 crore for the company. After this conversion, M/s Securocrop Securities India Pvt. Ltd., which is represented by Mr. Dinesh Pareekh, will hold the shares. The conversion is an important step in the company's capital structure adjustment, as it significantly impacts the shareholding of non-promoter investors.

Impact on the Company’s Capital Structure

With the conversion of 90,000 warrants, the company’s post-issue shareholding will include these new equity shares, which were issued after the remaining 75% of the warrant price was paid. The total number of equity shares post-issuance will be 3,008,000, calculated by adding the newly allotted shares to the previous base of 2,918,000 shares.

Key Points of the Allotment

✔ Type of Securities: 90,000 equity shares issued post-conversion of warrants.
✔ Issue Price: Rs. 207 per share (including Rs. 202 premium).
✔ Investor Details: The equity shares have been allotted to M/s Securocrop Securities India Pvt. Ltd., with Mr. Dinesh Pareekh as the beneficial owner.
✔ Total Funds Raised: Approximately Rs. 1.86 crore.

Looking Ahead: Corporate Growth and Investor Sentiment

This move aligns with Shine Fashions India’s growth strategy and its effort to boost the capital base for future expansion. The company remains committed to enhancing shareholder value and improving its financial position through strategic capital raising activities.

For investors, this update signals positive developments, with the warrant conversion marking a significant step in the company’s financial evolution. With more warrants pending conversion, the company’s equity base is expected to grow further, providing greater flexibility in capital management and business expansion.

Conclusion

The 90,000 equity shares issued by Shine Fashions India reflect the company's commitment to growing its capital base through strategic financial decisions. This issuance, following the conversion of warrants, demonstrates financial strength and governance transparency, positioning the company for future success.

Stay tuned for more updates on business and stock market news as we follow Shine Fashions India’s continued journey in expansion and investor engagement.

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