Motisons Jewellers Reports Lapse of 82.70 Lakh Warrants Worth ₹140.59 Crore
Motisons Jewellers Limited announced the lapse of 82.70 lakh warrants on April 05, 2026, after warrant holders failed to exercise conversion rights within the 18-month period. Originally allotted on October 05, 2024, at ₹170 per warrant to three non-promoter entities, only 17.30 lakh warrants were converted while 82.70 lakh warrants expired. The company will forfeit amounts received against lapsed warrants, with North Star Opportunities Fund experiencing complete forfeiture of 35.00 lakh warrants.
*this image is generated using AI for illustrative purposes only.
Motisons Jewellers Limited has reported the lapse of 82.70 lakh warrants after warrant holders failed to exercise their conversion rights within the mandatory 18-month period. The announcement, made on April 05, 2026, marks the conclusion of the warrant conversion window that began with the original allotment on October 05, 2024.
Warrant Allotment and Conversion Details
The warrants were initially allotted at an issue price of ₹170 per warrant, comprising a warrant subscription price of ₹42.50 and a warrant exercise price of ₹127.50. Each warrant was convertible into one equity share with a face value of ₹10. The total allotment covered 1.00 crore warrants to three non-promoter entities on a preferential basis.
| Parameter | Details |
|---|---|
| Total Warrants Allotted | 1,00,00,000 |
| Warrants Converted | 17,30,000 |
| Warrants Lapsed | 82,70,000 |
| Issue Price per Warrant | ₹170 |
| Allotment Date | October 05, 2024 |
Warrant Holder Performance
The lapse affected three major institutional investors with varying conversion rates. North Star Opportunities Fund VCC-Bull Value Incorporated VCC Sub-Fund failed to convert any of its 35.00 lakh warrants, resulting in complete forfeiture. Eminence Global Fund PCC-Eubilia Capital Partners Fund I converted 7.90 lakh warrants but allowed 27.10 lakh warrants to lapse. Nexpact Limited showed the highest conversion rate, converting 9.40 lakh warrants while letting 20.60 lakh warrants expire.
| Warrant Holder | Allotted | Converted | Lapsed |
|---|---|---|---|
| North Star Opportunities Fund | 35,00,000 | 0 | 35,00,000 |
| Eminence Global Fund | 35,00,000 | 7,90,000 | 27,10,000 |
| Nexpact Limited | 30,00,000 | 9,40,000 | 20,60,000 |
Impact of Stock Split
A significant development occurred during the warrant period when the company implemented a stock split effective November 08, 2024. The face value of equity shares was reduced from ₹10 to ₹1, resulting in a 1:10 split ratio. This change modified the conversion terms, allowing each warrant to be converted into 10 equity shares of ₹1 face value instead of one share of ₹10 face value.
Regulatory Compliance and Financial Impact
The warrant lapse follows Regulation 169(3) of Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, which mandates the 18-month conversion period. The company will forfeit the amounts received against the lapsed warrants, representing a significant financial benefit. The forfeited amount from the 82.70 lakh lapsed warrants, calculated at the subscription price of ₹42.50 per warrant, totals approximately ₹35.15 crore.
Historical Stock Returns for Motisons Jewellers
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +2.47% | +3.41% | -19.73% | -32.12% | -30.25% | +20.17% |
How will Motisons Jewellers utilize the ₹35.15 crore forfeited amount from lapsed warrants for future business expansion or debt reduction?
What impact will the reduced dilution from 82.7% warrant lapse have on existing shareholders' ownership and the company's earnings per share?
Will the poor conversion rate by institutional investors signal potential concerns about Motisons Jewellers' growth prospects to other market participants?
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