Whalesbook
Araiya and Kiaan Trust has filed a disclosure following its participation in Nexome Capital Markets Limited's recent rights issue, increasing its shareholding to 1.23% of the total voting capital. The trust now holds 108,750 shares.
This move comes after Nexome Capital successfully concluded its rights issue, which significantly boosted the company's equity share capital from approximately ₹5.88 crore to ₹8.82 crore. The rights issue was oversubscribed by 100.79%.
Why This Matters
The capital infusion from the rights issue strengthens Nexome Capital Markets' financial foundation. This is particularly important given the company's recent reported financial difficulties. The increased stake by Araiya and Kiaan Trust, part of the promoter group, signals ongoing investor confidence despite recent performance dips.
Company Background
Nexome Capital Markets, formerly known as SMIFS Capital Markets Limited, is a SEBI-registered Category-I Merchant Banker and Underwriter. Its services include investment banking, corporate advisory, and trading. The company conducted its rights issue between March 13 and March 23, 2026, to raise capital for investments and general corporate purposes. Araiya and Kiaan Trust had previously disclosed a 0.99% holding in December 2025.
What's Changed
Nexome Capital Markets now operates with an expanded equity base, with its total equity share capital standing at ₹8.82 crore. The company has successfully raised approximately ₹22.04 crore in fresh capital to support its operations and growth initiatives. The promoter group's overall shareholding percentage has been adjusted post-dilution from the rights issue.
Key Risks
Nexome Capital Markets faces significant financial challenges, including a consolidated net loss of ₹100.02 crore in Q3 FY26 and a sharp year-on-year revenue decline. The company also has a history of regulatory actions, having been penalized by SEBI in April 2004 for violating SAST Regulations. Ongoing SEBI oversight presents a risk, as any negative findings could impact business operations.
Industry Peers
The company operates in the financial services sector alongside peers such as 360 One Wam Ltd., Angel One Ltd., IIFL Finance Ltd., and BF Investment Ltd. These firms offer varied services including investment banking, broking, and NBFC operations, navigating similar market dynamics and regulatory environments.
Current Financial Metrics
Post-rights issue, Nexome Capital Markets' equity share capital stands at ₹8.82 crore, up from ₹5.88 crore. The total diluted share capital is now ₹10.74 crore. Araiya and Kiaan Trust's stake post-acquisition represents 1.23% of voting capital and 1.01% of diluted capital.
Looking Ahead
Investors will monitor how Nexome Capital Markets utilizes the ₹22.04 crore raised to improve its financial performance. Tracking the company's future results, its ability to overcome recent losses, and revenue declines will be critical. Further disclosures from Araiya and Kiaan Trust and other promoter group entities will offer insights into their strategic intentions.