Magson Retail approves preferential issue of CCDs and equity shares

Magson Retail and Distribution Limited’s board has approved a plan to raise ₹4 crore through the preferential allotment of securities to non-promoters, subject to shareholder approval. The decision, taken on June 16, 2026, involves issuing 0% unsecured compulsory convertible debentures (CCDs) and equity shares to strengthen the company's capital base.

Preferential Issue of CCDs

The board approved the issuance of up to 3,00,000 fully paid-up 0% unsecured CCDs with a face value of ₹100 each, aggregating ₹3,00,00,000. These instruments will be allotted to Kirit Jaisingh Maganlal, a non-promoter. The CCDs will be compulsorily convertible into equity shares with a face value of ₹10 each within 18 months from the date of allotment. The conversion price will be determined based on regulations 164 or 166A of the SEBI ICDR Regulations, using the relevant price 30 days prior to the conversion date.

Preferential Issue of Equity Shares

Additionally, the company approved issuing up to 61,200 fully paid-up equity shares to non-promoters, raising ₹1,00,04,976. The shares will be allotted at a price of ₹163.48 per share, including a premium of ₹153.48. The allottees include Atul Hariharbhai Brahmbhatt and Prajapati Dharmendrabhai.

Details of Allottees

S. No.	Name of the Proposed Allottees	Category	Maximum Number of Securities
1.	Kirit Jaisingh Maganlal	Indian Individual Non-Promoter	3,00,000 CCDs
1.	Atul Hariharbhai Brahmbhatt	Indian Individual Non-Promoter	48,960 Equity Shares
2.	Prajapati Dharmendrabhai	Indian Individual Non-Promoter	12,240 Equity Shares

Shareholder Approval and EGM

To facilitate these proposals, the board convened an extraordinary general meeting (EGM) scheduled for July 15, 2026, at 3:00 PM IST via video conferencing. The company fixed June 15, 2026, as the relevant date for determining the issue price of the equity shares. CS Kunal Sharma was appointed as the scrutinizer for the e-voting process. Den Valuation (OPC) Private Limited, an independent registered valuer, submitted the valuation report for calculating the minimum floor price.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.43%	-0.06%	-9.60%	+40.47%	+14.29%	+67.19%

Magson Retail and Distribution Limited has scheduled a board meeting for June 16, 2026, to consider raising funds through the issuance of equity shares, compulsory convertible debentures, or other securities. The board will evaluate various modes, including preferential or rights issues, subject to shareholder and regulatory approvals. This decision aims to secure capital for the company's interests, though the specific amount and instrument have not yet been disclosed.

Agenda and Approvals

The board's primary agenda is to explore fund-raising options. The proposed instruments may or may not be convertible into equity shares. The process will require approvals from shareholders, government bodies, and other statutory authorities as per applicable laws. Additionally, the board will transact any other business with the permission of the Chairperson.

Trading Window Closure

In accordance with the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, the company has closed its trading window. This restriction applies to all designated persons and their immediate relatives, effective from the date of the intimation notice. The window will remain closed until 48 hours after the conclusion of the board meeting on June 16, 2026.