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Ester Industries Limited announced it has converted fully convertible warrants into 67,08,851 equity shares. This allotment, approved by the Board of Directors on May 12, 2026, has boosted the company's paid-up equity share capital by ₹52.15 crore. The total number of outstanding equity shares now stands at 10,42,95,042. The conversion price per warrant was ₹158.
This capital infusion strengthens Ester Industries' financial base and alters its capital structure. For existing shareholders, the increase in the total number of shares outstanding leads to a proportional dilution in their ownership stake and potentially impacts Earnings Per Share (EPS). The effective utilization of the newly raised capital will be crucial for the company to create value and offset these effects.
This conversion marks the completion of a capital-raising exercise that began with the allotment of 1.7 crore warrants to promoters on November 12, 2024, also at an issue price of ₹158 per warrant. The full exercise has provided Ester Industries with approximately ₹268.6 crore, bolstering its financial resources.
Investors will be closely watching Ester Industries' plans for utilizing the newly acquired capital, with future growth strategies and capital expenditure plans expected to be key discussion points. The stock market's reaction to the capital infusion and equity dilution will also be a point of interest. Key metrics reflect a total paid-up equity share capital of ₹52.15 crore and 10,42,95,042 total equity shares outstanding as of the latest update, with the conversion price fixed at ₹158.