Khadim India announced a preferential issue of 10,68,182 warrants worth ₹11.75 crore. This move aims to infuse capital, with a 25% upfront payment. Shareholders will vote on this at an EGM.
Khadim India Board Approves Preferential Issue of Warrants Valued at ₹11.75 Crore
Khadim India Limited has announced plans to raise ₹11.75 crore through a preferential issue of 10,68,182 warrants. The exercise price is set at ₹110 per warrant. Reader Takeaway: Capital infusion via warrants; Shareholder approval needed at EGM. ## What just happened The Board of Directors of Khadim India Ltd. has approved the preferential issue of up to 10,68,182 fully convertible equity share warrants. The total issue size amounts to ₹11.75 crore (₹1,175.00 lakh). Each warrant has an exercise price of ₹110 and a face value of ₹10. A 25% upfront payment of the total issue price is required upon subscription. These warrants are convertible into equity shares within 18 months from the date of allotment. The issuance includes both promoter and non-promoter entities. Shareholders will vote on this proposal at an Extraordinary General Meeting (EGM) scheduled for August 01, 2026. ## Why this matters This preferential issue represents a strategic move by Khadim India to bring in fresh capital. The capital infusion is expected to support the company's operations and growth plans. The 18-month conversion period sets a clear timeline for potential equity dilution. Investors will be closely watching the outcome of the EGM and the subsequent conversion process. ## The backstory Khadim India is a well-known footwear retailer in India. This capital-raising initiative comes as the company continues to operate in a competitive market. The company's focus on strategic financial planning is evident in this move. ## What changes now The proposal requires shareholder approval at the EGM on August 01, 2026. Shareholders eligible for remote e-voting must meet the cutoff date of July 25, 2026. If approved, the company will proceed with the allotment and subsequent conversion of these warrants into equity shares. ## Board and Governance Update In addition to the financial move, the company also announced updates to its Board of Directors. Prof. (Dr.) Surabhi Banerjee will continue as an Independent Director, subject to shareholder approval, even after turning 75. Mr. Sekhar Bhattacharjee has been appointed as an Additional Director, designated as an Independent Director for a five-year term, effective July 02, 2026. These changes indicate a focus on maintaining experienced leadership and refreshing governance. ## Risks to watch Key risks include the potential for shareholder rejection of the preferential issue at the EGM. If approved, the subsequent conversion of warrants into equity will lead to dilution for existing shareholders. Market conditions and the company's performance will also influence the actual conversion and the value of these warrants. ## Context metrics (time-bound) * **EGM Date:** August 01, 2026 * **Remote e-voting eligibility cutoff:** July 25, 2026 * **Warrant conversion tenure:** Within 18 months from allotment. * **Issue Size:** ₹11.75 crore. * **Total Warrants:** 10,68,182. * **Exercise Price:** ₹110 per warrant.
