Simplex Castings Limited (BSE: 513472) has issued a corrigendum to the Notice of its Extra-Ordinary General Meeting scheduled for October 15, 2026. The revision addresses errors in the Explanatory Statement concerning the proposed preferential issue of equity shares and convertible warrants.

The company filed applications with BSE Limited for in-principle approval of the issue. Following observations from the exchange, Simplex Castings was directed to rectify specific details. The corrigendum replaces incorrect names of proposed allottees and updates the shareholding pattern disclosures to ensure compliance with SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.

Key corrections to allottee details

The primary changes involve the correction of names for several non-promoter and promoter allottees listed in Resolution No. 2 and Resolution No. 3 of the original EGM notice. These corrections apply to the resolution text and the corresponding points in the Explanatory Statement.

Additionally, references to "NSE" in the explanatory statement have been corrected to "BSE," reflecting the actual listing exchange for this approval process. The corrigendum also specifies that the Authorized Share Capital is ₹15 crore, divided into 7.50 crore equity shares of ₹2 each.

Revised shareholding pattern

The corrigendum provides updated tables for the pre-issue and post-issue shareholding patterns. These figures assume full subscription and conversion of all warrants into equity shares.

Equity Share Issue (Item No. 2)

The table below highlights key non-promoter entities receiving equity shares under the preferential issue:

Convertible Warrant Issue (Item No. 3)

For the convertible warrants, promoter Ketan Moolchand Shah is the largest allottee. His stake will dilute from 37.44% to 32.28% post-conversion.

What the Numbers Show

The corrected data reveals a significant shift in the institutional investor base. Alternative Investment Funds (AIFs) currently hold 0.41% of the equity capital but will increase their holding to 2.25% post-issue. This represents a more than fivefold increase in AIF participation relative to total capital. Meanwhile, Foreign Portfolio Investors (Category I) see a marginal increase from 7.50% to 7.73%, indicating that the bulk of new capital inflow is being absorbed by domestic AIFs and high-net-worth individuals rather than foreign institutional money.

The promoter group's aggregate holding will decrease from 50.36% to 42.78%. This dilution is driven by both the equity issue and the warrant conversion, reducing the promoter's absolute control while maintaining a majority stake above 40%.

Simplex Castings Limited has scheduled an Extra-Ordinary General Meeting (EGM) for October 15, 2026, to seek shareholder approval for a ₹99.71 crore preferential issue of equity shares and convertible warrants. The meeting will be held via Video Conferencing/Other Audio-Visual Means (VC/OAVM) at 02:00 pm.

The board meeting held on September 23, 2026, sanctioned the issuance of new securities at a price of ₹105 per share or warrant. The transaction is subject to regulatory approvals and shareholder consent. The company notified the BSE and Calcutta Stock Exchange pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015.

EGM logistics and voting schedule

The company has fixed Thursday, October 8, 2026, as the cut-off date for determining members eligible to vote by remote e-voting. The remote e-voting period will commence on Monday, October 12, 2026, at 09:00 am and end on Wednesday, October 14, 2026, at 05:00 pm.

M/s Meena Naidu & Associates, Practicing Company Secretaries, have been appointed as the scrutinizer for the e-voting process.

Details of the fundraising proposal

The board approved an increase in authorised share capital from ₹10 crore to ₹15 crore to accommodate the new issuance. The fundraising structure is divided into equity shares and warrants as detailed below:

The equity shares will be issued to certain non-promoter investors under Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. Key allottees include Capri Global Ventures Private Limited (3,85,714 shares), Real Capital Financial Services Private Limited (3,80,952 shares), and NABS Equity (3,08,571 shares). The warrants, also priced at ₹105, are convertible into one equity share each and can be exercised within 18 months from allotment. These warrants may be allotted to both promoter and non-promoter investors. Promoter Ketan Shah is slated to subscribe to 9,52,500 warrants, representing an investment of approximately ₹10.00 crore, while Saurashtra Enviro Projects Pvt. Ltd. is proposed to take up 7,14,286 warrants.

Utilization of proceeds

The company intends to utilize the funds raised through the preferential issue for capital expenditure, working capital requirements, and general corporate purposes within 36 months from the date of receipt of funds.

For the equity share component (₹47.15 crore), the allocation is as follows:

• Capital Investment/Capex: ₹20 crore (Expansion of Thermal Fabrication Facility and setting up a facility for Thermal and Railway Bogies).
• Working Capital: ₹15.65 crore.
• General Corporate Purpose: ₹11.15 crore.

For the warrant component (₹52.55 crore), the allocation is as follows:

• Capital Investment/Capex: ₹20 crore (Setting up of Solar Power Facility).
• Working Capital: ₹28.35 crore.
• General Corporate Purpose: ₹4.2 crore.

Governance changes

In addition to the capital raise, the board appointed Urlam Jaya Manmadha Rao as an Additional Director designated as Non-Executive Independent Director for a five-year term effective September 23, 2026. His appointment is subject to shareholder approval. Mr. Rao brings over 46 years of experience, including 36 years in Indian Railways and a recent tenure as MD & CEO of Andhra Pradesh Metro Rail Corporation Ltd.

What the numbers show

The combined value of the proposed equity and warrant issuance represents a significant expansion of Simplex Castings' capital base relative to its current authorised share capital of ₹10 crore. The total raise of ₹99.71 crore is nearly ten times the existing authorised limit, necessitating the approved increase to ₹15 crore. Notably, the warrant component (₹52.55 crore) exceeds the immediate equity component (₹47.15 crore), suggesting a phased capital infusion strategy where promoters and select investors commit to future conversion over an 18-month window rather than providing all funds upfront. The participation of promoter Ketan Shah in the warrant tranche signals strong internal confidence in the company's long-term valuation trajectory.