Kanel Industries has secured Board approval for a rights issue of equity shares worth up to ₹17 crore, marking a definitive step in its capital raising strategy. The decision was taken during the Board of Directors meeting held on July 30, 2026, in Ahmedabad. This move aims to strengthen the company’s balance sheet and fund future expansion plans, with the final terms including pricing and entitlement ratios to be determined by the Rights Issue Committee. The issuance is subject to regulatory approvals under the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018.

In addition to the capital raise, the Board noted significant changes in its composition. Ms. Pooja Khakhi (DIN: 07522176) was appointed as an Additional Director in the category of Non-Executive Independent Director, effective July 30, 2026. Concurrently, the Board noted the resignation of Ms. Jasmin Doshi (DIN: 08686876) from her position as Non-Executive Independent Director. Ms. Doshi cited a change in management and control following the completion of an open offer under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, as the reason for her departure. Her resignation is effective from the close of business hours on July 30, 2026.

Rights Issue Details

The approved rights issue involves the offer and issuance of fully paid-up equity shares with a face value of ₹10 each. The total amount not exceeding ₹17 crore will be raised from eligible equity shareholders as on the record date, which will be notified subsequently. The Board or the designated Rights Issue Committee will decide the specific terms and conditions, including the rights issue price, rights entitlement ratio, record date, timing, and payment terms.

Board Composition Changes

The appointment of Ms. Pooja Khakhi brings additional expertise in corporate governance and compliance to the Board. She is a qualified Company Secretary and Law Graduate with over 10 years of experience in corporate laws, secretarial compliance, and SEBI regulations. She holds NISM certifications in Equity Derivatives and Securities Intermediaries Compliance. Ms. Khakhi is not related to any existing directors and is not debarred from holding office by any SEBI order.

Following the resignation of Ms. Jasmin Doshi, the Board reconstituted the Audit Committee, Stakeholders Relationship Committee, and Nomination and Remuneration Committee by replacing Ms. Doshi with Ms. Khakhi. Ms. Doshi confirmed that there were no material reasons for her resignation other than those stated in her letter, which cited other preoccupations and the change in control.

Regulatory Compliance

The intimation regarding the Board’s decisions was issued pursuant to Regulation 30 read with Schedule III of the SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015. The disclosure also references SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. Keyvor Bakshi, Director of Kanel Industries Limited (DIN: 00133588), digitally signed the communication. The company has uploaded the requisite details on its official website, www.kanel.in , ensuring transparency and adherence to listing norms.

Kanel Industries Ltd has received shareholder approval to raise capital by issuing equity shares through a Qualified Institutions Placement (QIP). The special resolution was passed via postal ballot with 100% of the votes cast in favour, allowing the company to approach eligible investors for funding. The approval is a critical step for the company to bolster its capital base for future operations.

The voting process, conducted in compliance with Regulation 44 of the SEBI (LODR) Regulations, 2015, saw participation from both promoters and the public. A total of 14,977,630 votes were polled, all in favour of the resolution. There were no votes cast against the proposal. The remote e-voting facility was open from June 09, 2026, to July 08, 2026.

Voting Breakdown

The scrutiny of the votes was overseen by Malay Desai, Proprietor of M/s. Malay Desai & Associates, who was appointed as the scrutinizer on June 04, 2026. The report confirms that the resolution secured the requisite majority required for passage.

Scrutinizer's Report

The remote e-voting system was provided by Purva Sharegistry (India) Private Limited. The cut-off date for determining shareholder eligibility was June 05, 2026. The scrutinizer's report confirms that all resolutions mentioned in the Postal Ballot Notice were passed with the requisite majority. The final results were submitted to the Bombay Stock Exchange Limited on July 09, 2026.