Ambica Agarbathies Aroma & Industries Limited shareholders have approved the issuance of 8,48,600 equity shares on a preferential basis at the Extraordinary General Meeting (EGM) held on June 30, 2026. The resolution received 99.9999% approval, with 94,92,287 votes cast in favour and only 2 against. The meeting was chaired by Ambica Krishna, Chairman and Managing Director, at the company's registered office in Shankar Towers, Powerpet, Eluru. The approval enables the company to proceed with raising capital to meet its working capital requirements.

The preferential issue aims to raise ₹2,12,15,000 based on a fixed issue price of ₹25 per share. The pricing was determined in accordance with Regulation 164(1) of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, considering the higher of the 90-day and 10-day volume weighted average prices. A pricing certificate certifying the minimum issue price was obtained from M/s. P S Rao & Associates, Practising Company Secretaries.

The funds raised through this issuance are proposed to be utilized within three months from the date of allotment of equity shares to the respective allottees. The proposed allottees include Satrasala Lavanya Gupta, Perla Ambica Ramachandran, Alapati Karthik, and Alapati Lakshmana Ramachandra Ambica Eswar. Post-issue, the total shareholding of these allottees will aggregate to 4.708% of the company's equity share capital.

Preferential Issue Details

Proposed Allottees

Ambica Agarbathies Aroma & Industries Ltd has scheduled an Extraordinary General Meeting (EGM) on June 30, 2026, to seek shareholder approval for the preferential allotment of 8,48,600 equity shares to members of the promoter group. The board approved the proposal during its meeting on May 30, 2026, setting the issue price at ₹25 per share, including a premium of ₹15 per share, to raise an aggregate amount of ₹2,12,15,000. The funds are intended to meet the working capital requirements of the company.

Preferential Allotment Details

The issuance involves 8,48,600 fully paid-up equity shares of ₹10 each. The allottees include Satrasala Lavanya Gupta, Perla Ambica Ramachandran, Alapati Karthik Hanuma Kumar, and Alapati Lakshmana Ramachandra Ambica Eswar, all belonging to the promoter group. The issue price was determined in accordance with Chapter V of the SEBI (ICDR) Regulations, 2018, based on the higher of the 90-day or 10-day volume weighted average price preceding the relevant date of May 29, 2026. The 90-day average price was ₹23.63, and the 10-day average price was ₹24.86.

EGM and Voting Process

The EGM will be held at 11:00 AM at the company's registered office in Shankar Towers, Power pet, Eluru, Andhra Pradesh. Mr. Jineshwar Kumar Sankhala has been appointed as the Scrutinizer to oversee the voting process. The cut-off date to determine shareholder eligibility for voting is June 23, 2026. Remote e-voting will commence on June 27, 2026, at 9:00 AM and conclude on June 29, 2026, at 5:00 PM.

Financial Performance

For the financial year ended March 31, 2026, the company reported a net profit of ₹344.74 lakh, a significant increase from ₹48.86 lakh in the previous year. Total income for FY26 stood at ₹14,954.02 lakh, compared to ₹12,892.18 lakh in FY25. The Agarbathies Division contributed ₹11,583.75 lakh in segment revenue, while the Hotel Division contributed ₹3,370.27 lakh. The statutory auditors, M/s. Ramasamy Koteswara Rao & Co LLP, issued an unmodified opinion on the financial results.