JMJ Fintech538834Board key decisions

Board approves Rs.15 crore related-party loan limit, Rs.7 crore NCD issue and director re-designations

Board met on 22 October 2026 and approved raising the loan limit/financial assistance to JMJ Finance Ltd, a related party, from Rs.10 Crores to Rs.15 Crores — needs shareholder nod via postal ballot.

By ScoutQuest · Thu 22 Oct 2026, 6:19 PM IST · 2 min read

NCD Issue Size: up to Rs. 7,00,00,000 (Rupees Seven Crores only) on private placement
NCD Interest Rates: 10.50% to 13.40% (face value Rs. 10,000/- each)
Related-Party Loan Limit: raised from Rs.10 Crores to Rs.15 Crores

What the board decided

The board of JMJ Fintech Ltd met on Thursday, October 22, 2026, from 01:30 P.M. to 05:35 P.M., and approved a set of proposals covering fresh borrowing, a related-party lending limit and changes at the top of the company. Shareholders will be asked to approve several of these through a postal ballot.

Borrowing through debentures

Total issue size: up to Rs. 7,00,00,000 (Rupees Seven Crores only), in one or more tranches
Type: Secured, Unlisted, Unrated, Redeemable Non-Convertible Debentures (NCDs)
Route: private placement
Face value: Rs. 10,000/- each; minimum application 5 Debentures of Rs.10,000/- each
Interest rates offered: 10.50%, 12.00%, 12.50% & 13.40%
Subscription period: 28.10.2026 to 26.11.2026; deemed date of allotment 27.11.2026
Security: first pari-passu / exclusive charge over identified assets/receivables of the Company
Redemption: bullet payment at par at the end of the tenure subscribed
Debenture trustee: IDBI Trusteeship Services Limited, which has given prior consent to act as trustee

What it means: this is borrowed money, not fresh equity, so the number of shares does not change. Interest has to be paid on it until it is repaid in one shot at maturity. The update describes the debentures as unlisted and unrated.

Higher limit for a related party

The board approved increasing the loan limit/financial assistance to JMJ Finance Limited, a related party entity, from Rs.10 Crores to Rs.15 Crores, subject to the approval of shareholders through Postal Ballot.

Changes in directors

Mrs Shiny Joju appointed as an Executive Director (Whole-time Director), subject to shareholder approval through postal ballot and prior written approval from the Reserve Bank of India, with effect from whichever date is later.
Mr. Johny Madathumpady Lonappan re-appointed and re-designated from Executive Chairman (Whole-time Director) to Executive Director (Whole-time Director), with effect from 01 December 2026.
Mr. Joju Madathumpady Johny re-appointed and re-designated from Managing Director to Chairman & Managing Director, with effect from 09 December 2026.

The annexed profiles state that each of the three is not debarred from holding the office of director by virtue of any SEBI order or statutory authority, and that none of them holds a Managing Director / Whole-time Director / CFO / Company Secretary position in any other company.

How shareholders will be asked

The board approved the draft Postal Ballot Notice, Explanatory Statement and Calendar of Events, and fixed Friday, October 23, 2026 as the cut-off date for members eligible to receive the notice and vote electronically. M/s. Lakshmmi Subramanian & Associates, Practicing Company Secretaries, will be the Scrutinizer, and Central Depository Services (India) Limited (CDSL) will provide the remote e-voting facility.

What to watch

The proposals take effect only after the postal ballot results, and the new Executive Director's appointment additionally waits on RBI's prior written approval. The debenture money and the larger related-party exposure both add to the company's lending book and to its borrowing obligations.

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