AJC Jewel Manufacturers has scheduled its 8th Annual General Meeting for Tuesday, September 29, 2026, to approve the acquisition of an 80% stake in AJC Jewel Manufacturers FZC (UAE). The ₹9.60 crore transaction will be executed entirely through a non-cash share swap, consolidating the company's international operations.

The UAE entity, incorporated in Sharjah in May 2024, has demonstrated rapid revenue growth. It reported revenue of ₹53.82 crore in CY2024, which surged to ₹127.95 crore in CY2025, representing a year-on-year increase of approximately 138%. During January–June 2026, the entity recorded revenue of ₹72.46 crore. The acquisition moves AJC from having an operating presence to majority ownership of this manufacturing business.

Preferential Issue Details

The company proposes to allot up to 5,67,492 equity shares at ₹169.16 per share to Afzal Rahman Perinkadakkad. The total consideration is valued at ₹9.60 crore (specifically ₹9,59,96,946.72). The shares are issued for consideration other than cash towards the discharge of the purchase price.

The issue price was determined based on a valuation report by Alphavalue Consulting Valuation LLP and the volume-weighted average price of the preceding 10 trading days. Post-issue, the promoter group's holding is expected to rise from 56.33% to 59.85%, based on shareholding as of August 21, 2026. Mr. Afzal Rahman Perinkadakkad is expected to hold 8.55% of the post-issue equity share capital.

Strategic Context and Operations

The acquisition aligns with AJC's strategy to build an integrated India-UAE jewellery platform. The UAE entity engages in precious metal jewellery manufacturing. The Sharjah operation provides a platform for exploring opportunities in regional distribution and international customer servicing across the wider Middle East, leveraging the UAE's position as a global gold trade hub.

AJC manufactures 22K and 18K gold jewellery from its facility in Malappuram, Kerala. The company supports retail partners with a digital-first B2B ecosystem featuring over 5,000 jewellery designs. The transaction is structured under Chapter V of the SEBI ICDR Regulations and is expected to complete within 3–6 months subject to approvals.

Executive Remuneration Revisions

Shareholders will also vote on revisions to the basic salaries of three key directors, effective October 1, 2026:

• Ashraf Perinkadakkad (Managing Director): Salary increases from ₹6,00,000 to ₹7,00,000 per month.
• Mohamed Ali Cheruparambil (Wholetime Director): Salary increases from ₹61,500 to ₹1,25,000 per month.
• Fathima Jasna Kottekkattu (Executive Director): Salary increases from ₹1,25,000 to ₹2,00,000 per month.

The Nomination and Remuneration Committee recommended these hikes citing contributions to sales volume and overall company performance. Mrs Fathima Jasna Kottekkattu retires by rotation and offers herself for reappointment.

Shareholder Eligibility and Voting

Members whose names appear in the Register of Members or Register of Beneficial Owners as on Friday, August 28, 2026, are eligible to attend and vote. Remote e-voting facilities will be available from September 26 to September 28, 2026.

AJC Jewel Manufacturers reported a sharp rise in profitability for the first quarter of FY27, with net profit surging 318% year-on-year. The company posted revenue of ₹101.38 lakh, up from ₹45.12 lakh in the corresponding period last fiscal.

The Kerala-based jewellery manufacturer expanded its operational efficiency, driving EBITDA to ₹4.64 lakh, a significant increase from ₹1.58 lakh in Q1FY26. This growth translated into an EBITDA margin expansion to 4.58%, up from 3.50% previously.

Financial Performance

The company’s bottom line strengthened considerably as it navigated higher sales volumes. Net profit reached ₹2.38 lakh, compared to ₹0.57 lakh in Q1FY26. The PAT margin improved to 2.35%, reflecting better cost management alongside top-line growth.

Operational Updates

AJC Jewel continued to diversify its customer base, onboarding Kalyan Jewellers and Chemmanur Gold as corporate clients in the quarter. The firm also added 12 independent jewellery retailers, reducing concentration risk.

Manufacturing capabilities saw upgrades with the deployment of 3D printing and CNC cutting technologies. These advancements aim to reduce precious metal losses and enable entry into new design categories. The company also established a dedicated silver manufacturing facility with a capacity of approximately 5 kg per day.

Strategic Initiatives

The company launched its silver retail brand, Esthara, in Thrissur, Kerala, opening two stores in Q1FY27. Four additional stores are currently under fit-out. Management targets monthly revenue of ₹20 lakh per store at maturity, with projected PAT margins of 10–13%.

Overseas expansion plans remain active despite delays. The proposed acquisition in Sharjah is expected to complete in H1FY27, pending resolution of geopolitical tensions. Additionally, onboarding as an IIBX Qualified Jeweller is in progress to enhance bullion sourcing.