IIFL Capital Services Limited shareholders approved the issuance of equity shares through a preferential issue and alterations to its Articles of Association during its Extra-Ordinary General Meeting (EGM) held on June 1, 2026. The resolutions were passed with the requisite majority, securing over 99.99% of the votes cast, which strengthens the company's capital structure and governance framework.

The meeting, conducted via Video Conferencing and Other Audio Visual Means (VC/OAVM), was held in accordance with a Notice dated May 7, 2026, and a Corrigendum dated May 21, 2026. A total of 42 members participated through VC/OAVM, reckoned under Section 103 of the Companies Act, 2013. The proceedings were chaired by Ms. Rekha Warriar, Chairperson and Independent Director, while Mr. R. Venkataraman, Managing Director, briefed the members on the proposals.

Remote e-voting was facilitated by Central Depository Services (India) Limited (CDSL) from 9:00 a.m. on May 27, 2026, until 5:00 p.m. on May 31, 2026. The cut-off date for determining member eligibility was May 25, 2026. CS Snehal Shah of Snehal Shah & Associates was appointed as the Scrutinizer to oversee the voting process, ensuring compliance with the Companies Act, 2013, and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Voting Results Summary

The Scrutinizer's Report confirmed that both special resolutions were approved by the members. The detailed voting patterns reflect strong support across promoter and public categories.

The total number of votes cast for the first resolution was 21,14,10,313, representing 67.88% of the outstanding shares. For the second resolution, the total votes cast were 21,14,10,313, also representing 67.88% of the outstanding shares. The Promoter and Promoter Group cast 8,94,23,714 votes in favour of both resolutions, with no votes against. Public Institutions and Non-Institutions also supported the resolutions, with minimal opposition.

IIFL Capital Services has issued a corrigendum to the notice of its Extraordinary General Meeting (EGM) scheduled for June 1, 2026. The revision follows a request from the National Stock Exchange (NSE) for additional clarifications regarding the proposed preferential issue of equity shares. The company stated that the corrigendum forms an integral part of the original EGM notice dated May 7, 2026.

Utilization of Issue Proceeds

The company intends to raise a total of ₹1999.99 crore through the preferential issue. The proceeds are allocated for three primary objectives: repayment of borrowings, augmenting margin deposits, and general corporate purposes. The utilization plan is subject to a deviation of +/- 10% based on management estimates and market conditions.

The company reported that its total outstanding borrowings are approximately ₹1745 crore as of the date of the notice. Funds will be used to repay loans from lenders including ICICI Bank, HDFC Bank, and Aditya Birla Capital, among others. Additionally, ₹500 crore will be used to maintain margin deposits with exchanges such as BSE, NSE, NCDEX, and MCX, which have increased from ₹4018.63 crore as of March 31, 2025, to ₹5221.71 crore as of March 31, 2026.

Changes in Shareholding and Control

The preferential issue will result in a significant change in the company's shareholding pattern. FIH Mauritius Investments Ltd, currently holding 27.18% of the equity shares, will increase its stake to 34.89% post-issue. Consequently, the investor will acquire control over the company and be classified as a 'promoter' alongside the existing promoters.

The reclassification includes FIH Mauritius Investments Ltd and HWIC Asia Fund Class A Shares moving from the public shareholder category to the promoter group. The EGM will be held via Video Conferencing on June 1, 2026, at 11:30 A.M. IST.