Iris Clothings Limited has scheduled an Extra-Ordinary General Meeting (EGM) on August 3, 2026, to seek shareholder approval for the issuance of equity shares on a preferential basis. This approval is required to complete the acquisition of a 51% stake in Infinia Lifestyle Private Limited, a move aimed at diversifying the kidswear-focused company into the men's and women's athleisure segment. The transaction, approved by the Board on July 8, 2026, involves a total consideration of ₹57.12 crore and will make Infinia Lifestyle a subsidiary of Iris Clothings.

Preferential Issue Details

The company proposes to issue 77,08,183 fully paid-up equity shares at a price of ₹41.67 per share, including a premium of ₹39.67 per share. The shares will be allotted to Mr. Harsh Vardhan Sarda and Mrs. Pooja Sarda, the sellers of the target company, to discharge the non-cash component of the purchase consideration aggregating to ₹32.12 crore. The remaining ₹25 crore will be paid in cash. The issue price has been determined in accordance with Regulation 164 of the SEBI ICDR Regulations, based on a valuation report by Mr. Anurag Singal, a registered valuer.

EGM and Voting Information

The EGM will be held via Video Conferencing (VC) and Other Audio Visual Means (OAVM) on August 3, 2026, at 11:00 AM IST. Shareholders holding shares as of the cut-off date, July 27, 2026, are eligible to vote. The remote e-voting period commences on July 31, 2026, at 9:00 AM and concludes on August 2, 2026, at 5:00 PM. The facility is being provided by Central Depository Services (India) Limited (CDSL). Mrs. Pooja Bachhawat, Practising Company Secretary, has been appointed as the Scrutinizer for the voting process.

Transaction Timeline and Approvals

The closing of the transaction is subject to the satisfaction of customary conditions precedent, including shareholder approval via a special resolution and in-principle approval from stock exchanges. Upon receipt of necessary approvals, the equity shares are proposed to be allotted within 15 days. The acquisition is not a related party transaction and was conducted at arm's length. Post-issue, the promoters' holding will dilute to 58.79%, while the non-promoters' holding will increase to 41.21%.

Iris Clothings has announced the launch of its Newborn Gift Set range, marking a strategic expansion into the infant wear segment. The newly introduced collection comprises 4-piece, 6-piece, and 10-piece gift sets designed to cater to the growing demand for premium newborn essentials and occasion-led gifting. This launch broadens the company's product portfolio and unlocks a new avenue for category expansion.

The collection is available across Iris Clothings' diversified omnichannel distribution network, including its distributor network, Exclusive Brand Outlets (EBOs), Direct-to-Consumer (D2C) platform, and Quick Commerce channels. This approach ensures extensive market reach and seamless customer accessibility across every major purchasing touchpoint.

Newborn Gift Set Collection

The newly launched range offers consumers flexibility based on their gifting preferences. The collection details are as follows:

Management Outlook

Mr. Santosh Ladha, Managing Director of Iris Clothings Limited, highlighted the strategic value of the new category. He stated that the introduction reflects the company's continued focus on portfolio diversification and category expansion. Over the past four months, the company's digital initiatives have witnessed encouraging traction, validating the strength of its omnichannel strategy. The management believes this new category will accelerate sales momentum, strengthen customer engagement, and contribute meaningfully to long-term growth.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE01GN01025/063776722f6f41e0.pdf