String Metaverse Ltd has announced a preferential issue of 8.32 crore equity shares at Rs 8.85 each, aiming to raise Rs 73.63 crore. The company will seek shareholder approval at an EGM scheduled for October 15, 2026. The funds are earmarked for business expansion, technological investments, and overseas subsidiary support. No promoter participation is planned for this issuance, which will result in equity dilution for current investors.
String Metaverse Plans Rs 73.63 Crore Capital Raise
String Metaverse Ltd is seeking to raise Rs 73.63 crore through the issuance of 83,203,383 equity shares.
The shares are priced at Rs 8.85 each, which includes a face value of Re 1 and a premium of Rs 7.85 per share.
Reader Takeaway: The capital injection fuels expansion but causes equity dilution; management control remains unchanged.
What just happened
String Metaverse Ltd has issued a formal notice for an Extra-Ordinary General Meeting (EGM) to be conducted via video conferencing on October 15, 2026. The meeting seeks shareholder approval for a preferential allotment of equity shares. The pricing of Rs 8.85 per share has been fixed following SEBI ICDR regulations, with a relevant date of September 15, 2026.
Why this matters
The infusion of Rs 73.63 crore is intended to provide the company with fresh liquidity to pursue its strategic roadmap. A significant portion of the proceeds, Rs 30 crore, is allocated for working capital and business expansion, while Rs 12 crore will be directed toward emerging technology investments. Notably, the company has clarified that no promoters or key management personnel are participating in this fundraising round.
Risks to watch
For existing shareholders, the primary risk is the dilution of equity resulting from the issuance of over 83 million new shares. Furthermore, the success of this capital deployment depends on the company's ability to effectively execute its strategic investments and overseas expansion plans. Market participants should monitor the actual utilization of these funds as reported in future quarterly disclosures.
What to track next
The EGM proceedings on October 15, 2026, will be the next critical milestone. Investors should also observe the allotment process and the subsequent filings confirming the receipt of funds and the resulting shareholding pattern changes.