Krsnaa Diagnostics board has approved the sale of diagnostic equipment worth up to ₹120 crore, a move aimed at improving asset management and capital efficiency.

Board decision on equipment sale

The board of Krsnaa Diagnostics greenlit the disposal of identified diagnostic equipment, with the total transaction value capped at ₹120 crore. The decision reflects the company's focus on optimising its asset base through the structured sale of assets to identified purchasers, including those that may be identified in the future.

Strategic rationale

The board-sanctioned sale is directed at improving asset management within the organisation. By divesting diagnostic equipment up to the approved value, Krsnaa Diagnostics aims to streamline its operational asset portfolio. The proposed transaction forms part of the company’s ongoing strategic initiative to transition towards an increasingly asset-light and capital-efficient operating model.

The company stated that it has identified certain assets that can be monetised without impacting its core operating capabilities. The sale is intended to unlock value from these assets and facilitate efficient recycling of capital towards the core diagnostic business and identified growth opportunities. This initiative is expected to support improved asset utilisation, enhance return on capital employed (ROCE), and strengthen the balance sheet.

Asset details and regulatory compliance

The assets proposed for sale comprise identified freehold assets which are not subject to any security interest created in favour of the company’s lenders. Accordingly, the transaction will not impact the assets forming part of the security package provided to lenders. The board clarified that this exercise is one of active portfolio and capital optimisation and is not driven by any impairment or diminution in the value of the underlying assets.

The transaction does not constitute a sale or disposal of an undertaking within the meaning of Section 180(1)(a) of the Companies Act, 2013. The board authorised the Operations Committee to finalise the terms and conditions of the transaction within the aggregate limit approved.

Krsnaa Diagnostics shareholders have approved the issuance of up to 16,21,000 warrants convertible into equity shares on a preferential basis to the promoter and promoter group.

The special resolution was passed on September 17, 2026, following a remote e-voting process conducted under Regulation 44(3) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The voting concluded at 5:00 pm IST, with Dinesh Birla & Associates appointed as the scrutinizer for the process.

Voting Results Breakdown

The resolution received overwhelming support from promoter shareholders while facing significant dissent from institutional investors. A total of 18,671,556 votes were polled out of 32,438,672 outstanding shares, representing a 57.56% participation rate.

Promoter shareholders holding 8,795,605 shares voted unanimously in favor of the proposal. Among public non-institutional shareholders, who hold the largest share base of 17,712,796, support stood at 99.81%. However, institutional investors, holding 5,930,271 shares, showed notable resistance, with 32.44% voting against the resolution.

What the Numbers Show

The divergence in voting behavior highlights a clear split between retail/non-institutional public shareholders and institutional stakeholders. While the promoter group and retail investors backed the capital raise mechanism, nearly one-third of institutional votes opposed the preferential issuance. This suggests potential concerns among larger funds regarding dilution or valuation terms, despite the overall resolution passing with a comfortable majority of 92.69%.

Procedural Compliance

The postal ballot notice was issued on August 13, 2026, with voting commencing on August 18, 2026. The company circulated a corrigendum on August 28, 2026, allowing shareholders to modify prior votes; however, no modification requests were received by the scrutinizer. The process adhered to MCA circulars mandating electronic-only communication, with notices dispatched via email to registered members.