Anand Rathi Share & Stock Brokers allotted ₹11.40 crore worth of secured, unlisted non-convertible debentures (NCDs) through a private placement on August 27, 2026. The issuance was completed pursuant to Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

The company issued 1,140 debentures with a face value of ₹1 lakh each. This allotment represents a portion of the maximum issue size of ₹13.20 crore approved for the private placement. The instruments are redeemable and secured by a first-ranking charge.

Issue Terms and Security

The NCDs carry a fixed coupon rate of 9%, payable quarterly. The tenure is set at three years, with the deemed date of allotment recorded as August 27, 2026, and the maturity date scheduled for August 27, 2029. Full redemption of the principal amount will occur on the maturity date.

Security for the debentures is provided by way of hypothecation over all present and future unencumbered assets, book debts, and receivables. This charge was established under a deed of hypothecation dated June 2, 2026, entered between the company and the Debenture Trustee.

Default Provisions

In the event of a default in interest or principal payment exceeding three months from the due date, the company is liable to pay an additional interest rate of 2% per annum over the base coupon. This penalty applies from the date of default until payment is made, as specified in the Debenture Trust Deed.

The company confirmed that no special rights, interests, or privileges are attached to these instruments. Further details regarding the offer were disclosed in the offer letter dated August 25, 2026.

Anand Rathi Share & Stock Brokers reported a net profit of ₹1,292.26 crore for the quarter ended June 30, 2026 (Q2FY27), a decline from ₹1,389.25 crore in the corresponding quarter of FY26. Total income from operations fell to ₹5,304.70 crore, down from ₹5,435.09 crore in Q2FY26. The company’s net worth stood at ₹29,344.79 crore as of June 30, 2026, up from ₹25,812.45 crore a year earlier. Concurrently, the company initiated a postal ballot process to seek shareholder approval for material modifications to existing related party transactions with Anand Rathi Financial Services Limited and Anand Rathi Global Finance Limited for FY27.

The Board of Directors approved the unaudited standalone financial results on August 5, 2026. The results were reviewed by the Audit Committee and filed with stock exchanges under Regulation 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company engaged MUFG Intime India Private Limited (formerly Link Intime India Private Limited) to facilitate remote e-voting for the postal ballot resolutions.

Financial Performance

The brokerage firm saw a contraction in both top-line and bottom-line metrics during the quarter. Pre-tax profits before exceptional items dropped to ₹1,712.13 crore from ₹1,869.03 crore in Q2FY26. Reserves increased significantly to ₹13,435.42 crore from ₹9,903.08 crore in the prior year, indicating retained earnings accumulation despite the quarterly profit dip. The debt-equity ratio remained stable at 6.61:1, compared to 6.54:1 in Q2FY26.

Postal Ballot Details

Shareholders are being asked to approve ordinary resolutions regarding material modifications to related party transactions. These transactions involve Anand Rathi Financial Services Limited (Holding Company) and Anand Rathi Global Finance Limited (Group Company). The cut-off date for voting eligibility is Friday, July 31, 2026. Only members registered in the Register of Members or Register of Beneficial Owners as of this date are entitled to vote.

Remote e-voting commenced at 09:00 A.M. (IST) on Thursday, August 6, 2026, and concludes at 05:00 P.M. (IST) on Friday, September 4, 2026. Once cast, votes cannot be modified. M/s. Manish Ghia & Associates, Practicing Company Secretaries, have been appointed as Scrutinizer to ensure a fair and transparent process. Results will be declared within two working days of the voting conclusion.

What the Numbers Show

While revenue and net profit declined sequentially, the substantial increase in reserves highlights the company’s strong capital retention strategy. The stability in the debt-equity ratio despite lower operational income suggests disciplined leverage management. Investors should monitor whether the decline in total income is driven by specific segment underperformance or broader market volatility, as no segment-wise breakdown was provided in the standalone filing.