TD Power Systems Clears Regulatory Hurdle for Capital Raise

1,250,000 equity shares to be issued at a minimum price of Rs 600 each.

Reader Takeaway: Regulatory hurdle cleared for fundraising; company must now enforce strict trading compliance on allottees.

What just happened

TD Power Systems Limited has received official in-principle approval from both BSE and NSE for its proposed preferential issue of equity shares. The company plans to issue 1.25 million shares, each with a face value of Re 1, at a floor price of Rs 600 per share. The exchange approvals were granted on September 11, 2026.

Regulatory Compliance and Conditions

The exchanges have mandated that the company adhere to the Companies Act, 2013, and SEBI (ICDR) Regulations, 2018. As part of the approval, TD Power Systems must ensure that the proposed allottees do not engage in intra-day trading or sell any company scrip until the final allotment is completed. The company is now responsible for collecting and verifying undertakings from allottees to confirm their compliance with these trading restrictions.

What changes now

With in-principle approval secured, the company can move forward with the necessary legal filings and capital allocation processes required to finalize the preferential issue. This procedural milestone effectively signals that the company’s fundraising plan is compliant with current market standards set by the exchanges.

What to track next

Investors should monitor for further disclosures regarding the actual date of allotment, the final list of allottees, and the confirmation of funds received. These will be the final steps to complete the capital infusion process.