RFRegency Fincorp540175Preferential allotment

Board approves preferential issue of 1,42,66,412 equity shares and 4,75,46,030 convertible warrants

Board meeting outcome: preferential issue approved.

By ScoutQuest · Fri 16 Oct 2026, 11:59 AM IST · 2 min read

Equity Shares Issued

1,42,66,412 equity shares at Rs. 50.50/- each = INR 72.05 crore

Warrants Issued

4,75,46,030 warrants at Rs. 50.50/- each = INR 240.11 crore, convertible within 18 months

Authorised Share Capital

up from Rs. 95 crore to Rs. 152 crore

Board meeting outcome, 16th October, 2026

The board approved a preferential issue of equity shares and warrants convertible into equity shares, an increase in authorised share capital and an employee stock option scheme. The proposals are subject to the approval of shareholders at the 2nd Extra-Ordinary General Meeting.

Equity shares

• Maximum 1,42,66,412 equity shares of face value INR 10/- each
• Issue price Rs. 50.50/- per share, including a premium of Rs. 40.50/-
• Total consideration INR 72.05 crore
• To promoters and non-promoters/public shareholders, for cash/consideration other than cash, on a preferential basis

Warrants convertible into equity shares

• Maximum 4,75,46,030 warrants, each convertible into one equity share of face value Rs 10/- each
• Issue price Rs. 50.50/- per warrant, including a premium of Rs. 40.50/-
• Total consideration INR 240.11 crore, for cash consideration
• Conversion can be exercised at any time within 18 months from the date of allotment of warrants, in one or more tranches
• Option for conversion is available upon payment of the full price of the warrant before exercise
• The warrants are subject to adjustment if the company issues equity shares by capitalisation of profits or reserves, demerger/realignment, rights issue, or undertakes consolidation, sub-division or reclassification of equity shares

Authorised share capital

• Existing: Rs. 95 crore divided into 95000000 equity shares of Rs.10/- each
• Proposed: Rs. 152 crore divided into 152000000 equity shares of Rs.10/- each
• An increase of Rs. 60 crore (Sixty Crores), with Clause V of the Memorandum of Association to be amended, subject to shareholder approval

Proposed use of the funds (tentative)

• Acquisition of a company having a Digital Lending Platform: Up to Rs.120.00 Cr, timeline 1 year
• Acquisition of a company having a Gold Loan Business: Up to Rs 150.00Cr, timeline 6 months
• Onward lending purposes - MSME Loans: Up to Rs 32.00 Cr, timeline 2 year
• General Corporate Purposes: Up to Rs. 10.15 Cr, timeline 2 years
• Total: Rs. 312.15 Cr

Other approvals

• Formulation and implementation of the Regency Fincorp Limited - Employee Stock Option Scheme 2026, subject to shareholder and other regulatory/statutory approvals
• Infomerics Valuation and Rating Limited appointed as Monitoring Agency for the issuance of equity shares and warrants convertible into equity shares on a preferential basis
• Mr. Devender Singh, Proprietor of M/s Devender Singh and Associates, appointed as Scrutinizer for the remote e-voting and ballot process
• 2nd Extra-Ordinary General Meeting to be held on Wednesday, 11th November, 2026 at 1:00 P.M. at the registered office of the company
• Monday, 12th October, 2026 approved as the Relevant date for calculating the issue price, and the board took note of the Valuation Report dated 15th October, 2026 of a Registered Valuer

What the update sets out

• The equity shares and warrants are proposed to be issued on a preferential basis to the promoters and public/non-promoter allottees named in the update
• The warrants carry a conversion window of up to 18 months from allotment
• Both issues, the authorised capital increase and ESOP 2026 are placed before shareholders at the forthcoming 2nd Extra-Ordinary General Meeting

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