Rama Steel Tubes has published the notice for its Extraordinary General Meeting (EGM) in English and Hindi newspapers on September 26, 2026. The meeting is scheduled for October 21, 2026, to approve a ₹346 crore fundraising plan linked to the acquisition of a stake in Automech Group Holding Limited.

Preferential Issue Details

The Board approved the issuance of up to 28,00,00,000 equity shares at ₹5 each, raising up to ₹140 crore in cash from promoters and non-promoters. Additionally, the Board approved the issuance of up to 33,28,00,000 equity shares at ₹5 each, valued at ₹166.40 crore, as consideration other than cash towards acquiring 21.62% of Automech Group.

A separate proposal was approved for issuing up to 8,00,00,000 convertible warrants at ₹5 each, aggregating ₹40 crore, exclusively to the promoter category. These warrants are convertible into one fully paid-up equity share each within 18 months of allotment.

Acquisition of Automech Group

The preferential allotment is linked to the amendment of a Share Purchase Agreement dated December 11, 2025. Rama Steel Tubes and its wholly owned subsidiary, RST International Trading FZE, will jointly acquire 100% of Automech Group Holding Limited for AED 296 million. Rama Steel Tubes will acquire a 21.62% stake for AED 64 million, while RST International Trading FZE will acquire the remaining 78.38% for AED 232 million.

The acquisition aims to expand geographical presence in the UAE across sectors including steel fabrication, construction, precision engineering, and marine services. The completion date for the transaction has been extended to December 15, 2026.

Capital Structure Changes

To facilitate these issuances, the authorised share capital was increased from ₹200 crore to ₹250 crore. The capital clause of the Memorandum of Association will be altered accordingly, subject to shareholder approval via an Extraordinary General Meeting.

Post-allotment, assuming full conversion of warrants, promoter Naresh Kumar Bansal's holding is expected to rise from 17.10% to 18.88%. Non-promoter investors Mangesh Anilpant Duke and Payal Mangeshrao Duke will hold 5.15% and 3.44% respectively, while seller Jagjit Gouri will hold 14.29% post-acquisition.

EGM Logistics and Voting

The EGM will be held on Wednesday, October 21, 2026, at 12:30 pm (IST) through video conferencing or other audio-visual means. Shareholders can vote electronically via remote e-voting from Sunday, October 18, 2026, at 9:00 am until Tuesday, October 20, 2026, at 5:00 pm. Arun Kumar Gupta & Associates, Practicing Company Secretaries, Delhi, has been appointed as the scrutinizer for the e-voting process.

The cut-off date for determining voting rights is Wednesday, October 14, 2026. Members whose names are recorded in the Register of Members or Register of Beneficial Owners as on this date are eligible to cast votes. The notice was dispatched via email on September 25, 2026, and is available on the company website and stock exchange portals.

Regulatory Compliance

The intimation regarding the newspaper publication was issued under Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The advertisements appeared in Financial Express (English) and Jansatta (Hindi). The trading window for Rama Steel Tubes securities remains closed effective immediately and will reopen 48 hours after the conclusion of the board meeting held on September 22, 2026.

Rama Steel Tubes promoter Tarun Dhir disposed of 56,86,447 equity shares, representing a 0.35% stake in the company, through open market transactions between September 9 and 11, 2026.

The sale reduces Dhir’s total holding to 2,42,50,796 shares, or 1.48% of the company’s paid-up capital, down from 2,99,37,243 shares (1.83%) prior to the transaction.

Transaction Details

Dhir, who is a partner at M/s Arun Enterprises, executed the sales under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The disclosure was submitted to both the National Stock Exchange of India Limited and BSE Limited on September 11, 2026.

The company’s total equity share capital remains unchanged at ₹1,63,60,40,979, comprising 1,63,60,40,979 equity shares with a face value of ₹1 each. No warrants, convertible securities, or other instruments entitling the seller to voting rights were involved in the transaction.

What the Numbers Show

The disposal represents a significant reduction in Dhir’s individual stake within the promoter group, dropping by nearly one-third relative to his previous holding. However, as his post-transaction stake remains above 1%, he continues to be classified as part of the promoter group under SEBI regulations.