J.K. Investors (Bombay) Limited, a promoter of Raymond Limited , has released encumbrances on 23,50,000 shares, reducing the pledged stake significantly. The shares were previously pledged with Aditya Birla Capital Limited as collateral for loans taken by the company and group companies. The release of these pledges took place on May 20, 2026, and was disclosed to the stock exchanges on May 27, 2026.

The disclosure was submitted in compliance with Regulation 31(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Prior to the release, J.K. Investors (Bombay) Limited held a total of 1,98,61,793 shares, representing 29.83% of the total share capital of Raymond Limited. Out of this, 49,62,471 shares, or 7.45% of the capital, were encumbered.

Details of Encumbrance Release

The promoter released the pledged shares in two separate transactions on May 20, 2026. All releases were made in favor of Aditya Birla Capital Limited. The reason cited for the release was that the collateral for loans taken by the company and group companies was now released.

Following these transactions, the total encumbered holding of J.K. Investors (Bombay) Limited stands at 11,25,000 shares, amounting to 1.69% of the share capital. The disclosure was signed by Gautam Hari Singhania, the Authorised Signatory for J.K. Investors (Bombay) Limited.

Other Promoter Holdings

The filing also detailed the shareholding and encumbrance status of other promoter group entities. J.K. Investo Trade (India) Limited holds 82,75,087 shares (12.43%), while J.K. Helene Curtis Limited holds 35,92,050 shares (5.40%). Neither of these entities has any encumbered shares. Other entities such as Smt. Sunitidevi Singhania Hospital Trust, J.K. Sports Foundation, and Polar Investments Limited also hold shares with no encumbrances. Individual promoters, including Gautam Hari Singhania, Nawaz Singhania, and Niharika Gautam Singhania, hold minimal stakes with no encumbrances reported.

Raymond Limited has scheduled an Extraordinary General Meeting (EGM) for June 18, 2026, to seek shareholder approval for the preferential allotment of warrants to JK Investors (Bombay) Limited, a promoter group entity. The company proposes to issue up to 66,57,373 warrants at a price of ₹497 each, aggregating to approximately ₹330.88 crore, to fund acquisitions and general corporate purposes.

The Board of Directors approved the proposal on May 25, 2026. The warrants, convertible into one fully paid-up equity share of ₹10 each after 18 months, require an upfront payment of 25% of the issue price, with the balance due upon conversion. The relevant date for determining the floor price is May 19, 2026, with the floor price calculated at ₹496.37 per warrant based on the volume weighted average price.

Object of the Issue

The company intends to utilize the net proceeds of approximately ₹330.88 crore for specific objects. A major portion, amounting to ₹248.16 crore (75%), will be allocated for funding acquisitions in India and internationally across targeted growth sectors such as aerospace, automotive, and defence, as well as for capital expenditure and capacity expansion at subsidiary companies including JK Maini Precision Technology Limited and JK Maini Global Aerospace Limited. The remaining ₹82.72 crore (25%) will be used for general corporate purposes.

Shareholding Pattern

Upon full conversion of the warrants, the shareholding of the promoter and promoter group is expected to increase from 48.87% to 53.52%. JK Investors (Bombay) Limited, the proposed allottee, currently holds 29.83% of the pre-issue share capital, which will rise to 36.21% post-conversion. The company has confirmed that there will be no change in the composition of the Board or control of the company consequent to the issue.

Key Dates and E-voting

The EGM will be conducted via Video Conferencing (VC) and Other Audio Visual Means (OAVM). Remote e-voting will commence on June 13, 2026, at 09:00 A.M. IST and conclude on June 17, 2026, at 05:00 P.M. IST. The cut-off date for determining shareholder eligibility for voting is June 11, 2026.

CARE Ratings Limited has been appointed as the monitoring agency to oversee the utilization of the issue proceeds, which must be completed within 18 months from the date of allotment of the warrants.