efc has informed the stock exchanges regarding the incorporation of a wholly-owned subsidiary named EFC Estate Wakadewadi 3 Private Limited. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company received the Certificate of Incorporation from the Ministry of Corporate Affairs on May 6, 2026.

Details of the New Subsidiary

The newly incorporated entity, EFC Estate Wakadewadi 3 Private Limited, is based in India and falls under the real estate as a service industry. The primary business of the subsidiary involves holding or acquiring property situated on the 3rd floor, B Wing/building of the commercial complex known as Godrej Eternia. This property is located in the village of Bhamburda – Shivaji Nagar, Taluka Pune City, District Pune, within the limits of Pune Municipal Corporation.

Shareholding and Financials

EFC Estate Wakadewadi 3 Private Limited is a wholly-owned subsidiary of EFC (I) Limited. The nature of the consideration for the subscription is cash. The cost of subscription is Rs. 1,000, which is divided into 100 equity shares of Rs. 10 each. EFC (I) Limited holds 100% of the shareholding in the new entity.

Background and Approvals

The property to be held by the subsidiary will be acquired through a demerger from EFC Limited, which is a material wholly-owned subsidiary of EFC (I) Limited. The company stated that no specific governmental or regulatory approvals were required for this incorporation. The intimation was signed by Aman Kumar Gupta, Company Secretary, on behalf of EFC (I) Limited.

EFC (I) Limited has submitted its Letter of Offer dated May 1, 2026, to SEBI, BSE Limited, and National Stock Exchange of India on May 6, 2026, in compliance with the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018. The filing follows the Board of Directors meeting held on May 1, 2026, where the company finalised detailed terms for its rights issue, building on in-principle approvals received from BSE and NSE vide their letters dated April 27, 2026. The company is an integrated real estate and workplace solutions provider operating across the commercial workspace value chain in India, delivering end-to-end solutions encompassing managed office spaces, turnkey design and build services, and furniture manufacturing.

Rights Issue Structure and Pricing

The company proposes to issue up to 1,06,62,786 fully paid-up equity shares of face value ₹2 each at a price of ₹150 per share, including a share premium of ₹148 per share, aggregating up to ₹15,994.18 Lakhs. The rights equity shares are being offered to eligible equity shareholders in the ratio of 8 rights equity shares for every 103 fully paid-up equity shares held on the record date of Thursday, May 7, 2026.

Share Capital Impact

Prior to the rights issue, the company has 13,72,83,376 outstanding equity shares. Assuming full subscription, the issued, subscribed, and paid-up equity share capital will increase to 14,79,46,162 fully paid-up equity shares post-issue. The securities premium account is expected to increase from ₹34,664.93 Lakhs before the issue to ₹50,445.85 Lakhs after the issue.

Complete Issue Schedule

The Letter of Offer sets out a comprehensive timeline for the rights issue process, with the issue opening on May 13, 2026, and closing on May 22, 2026. The board retains the right to extend the issue period by up to 30 days from the issue opening date.

Objects of the Issue and Fund Utilisation

The company proposes to utilise the net proceeds of ₹15,912.08 Lakhs (after estimated issue-related expenses of ₹82.10 Lakhs) towards working capital requirements and general corporate purposes. The intended deployment of net proceeds is as follows:

EFC (I) Limited currently holds an order book of ₹165.00 crores for its design and build business. Its subsidiary EFC Limited holds an order book of ₹197.10 crores, while EK Design Industries Limited holds an order book of ₹98.60 crores, all as of April 20, 2026.

Business Overview

The company operates through three primary business segments: Managed Office Solutions, Design and Build (Turnkey Interior Solutions), and Furniture Manufacturing and Supply. The managed office solutions segment constitutes the core of the company's business model, offering fully serviced, ready-to-use office spaces under brands including "EFC", "Sprint", and "Big Box". The design and build segment operates under the brand "Whitehills", providing end-to-end turnkey interior solutions for commercial spaces. The furniture manufacturing and supply vertical operates through EK Design Industries, which runs a 125,000-square-foot manufacturing facility in Pune. The company has established a pan-India presence across major commercial hubs including Pune, Mumbai, Delhi NCR, Hyderabad, Chennai, and Ahmedabad.

Financial Summary

The following table presents key consolidated financial metrics derived from audited financial statements and unaudited consolidated financial results:

Issue Price Rationale and Regulatory Compliance

The Board of Directors determined the rights issue price of ₹150 per equity share at a discount to recent market prices. The issue price represents a discount of 23.37% and 23.19% to the closing market price on BSE and NSE respectively, one trading day prior to the announcement of the rights issue price (April 30, 2026). It also represents a discount of 25.92% and 25.90% to the 10 trading days' volume weighted average price on BSE and NSE respectively, and a discount of 35.41% and 34.69% to the 90 trading days' VWAP on BSE and NSE respectively, preceding the announcement. The company has confirmed that neither it nor its promoters — Mr. Umesh Kumar Sahay and Mr. Abhishek Narbaria — have been categorised as wilful defaulters or fraudulent borrowers by any bank or financial institution. The designated stock exchange for the issue is BSE Limited.

Source: None/Company/INE886D01026/2af7e5f9fae64449.pdf