SJ Corporation Ltd has reported substantial dilution in promoter shareholdings following a preferential allotment of equity shares. The development represents a significant change in the company's ownership structure, with multiple promoters experiencing percentage stake declines due to the issuance of new shares to proposed promoters and non-promoters.

Shareholding Changes

The company witnessed significant dilution across promoter holdings following the preferential allotment executed on March 20, 2026. Promoter Savji D. Patel's shareholding decreased from 37.39% to 30.18%, while Ushaben Savjibhai Patel experienced a more substantial decline from 33.46% to 6.45%. Both promoters maintained their absolute share holdings despite the percentage dilution.

Capital Structure Expansion

The company's equity capital underwent significant expansion through the preferential allotment. The total equity share capital increased from ₹83.55 lakh to ₹4.34 crore, with the share count rising from 83.55 lakh to 4.34 crore equity shares of Re. 1 each. The company allotted 3.50 crore new equity shares through this preferential allotment.

Regulatory Compliance

The disclosures were made in compliance with Regulation 29(2) of SEBI (Substantial Acquisition of Shares & Takeovers) Regulations, 2011. Both Savji D. Patel and Ushaben Savjibhai Patel, identified as promoters of the company, submitted the required documentation to BSE Limited on March 31, 2026. The company's shares are listed on BSE Limited under scrip code 504398.

Transaction Impact

The preferential allotment completed on March 20, 2026, resulted in the dilution of existing shareholders' percentage holdings without any actual sale or transfer of shares from promoter holdings. The issuance of new shares to other parties reduced proportionate ownership across existing stakeholders. The transaction involved no encumbrances, voting rights transfers, or convertible securities, representing a standard capital raising exercise through preferential allotment to strengthen the company's financial position.

SJ Corporation Ltd has informed BSE Limited about the completion of a separate meeting of independent directors held on March 27, 2026, as part of its regulatory compliance under corporate governance norms.

Meeting Agenda and Outcomes

The independent directors convened to review several critical aspects of corporate governance during their 30-minute session from 1:30 PM to 2:00 PM. The meeting addressed three key areas of evaluation:

Regulatory Compliance

The separate meeting of independent directors represents a mandatory corporate governance practice designed to ensure independent oversight of company operations. The directors specifically assessed whether the information flow between management and the board enables directors to effectively and reasonably perform their duties.

Communication Details

Company Secretary and Compliance Officer Deepa Ashokkumar Dhamecha signed the regulatory filing, confirming the meeting's completion to BSE Limited. The communication was digitally signed and timestamped at 14:07:58 on March 27, 2026, ensuring proper documentation of the governance activity.

The company maintains its registered office at 201, Shyam Bungalow, Plot No. 199/200, Pushpa Colony, Fatimadevi School Lane, Manchubhai Road, Malad (East), Mumbai - 400097, and continues to fulfill its listing obligations with BSE Limited.