South West Pinnacle Exploration Ltd has confirmed that there was no deviation or variation in the utilization of proceeds from the phase-I preferential issue during the quarter ended June 30, 2026. The company stated that the entire proceeds received under this phase were fully utilized by March 31, 2026, strictly adhering to the objects outlined in the Explanatory Statement dated January 02, 2025.

The disclosure was made pursuant to Regulation 32 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123. The utilization complied with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 and the applicable provisions of the Companies Act, 2013.

As the funds were already deployed by the end of the previous financial year, there was no utilization of the proceeds during the quarter ended June 30, 2026. Therefore, the company noted that the Statement of Deviation or Variation is not applicable for this period.

Utilization Details

South West Pinnacle Exploration has allotted 28.21 lakh equity shares at ₹132.20 per share following the conversion of warrants, increasing its paid-up equity capital to ₹32.65 crore. Promoters Vikas Jain and Piyush Jain acquired 22.69 lakh of these shares, raising their combined holding to 65.94%. Simultaneously, the promoters disposed of 1.11 lakh shares in the open market prior to the allotment.

Warrant Conversion and Capital Increase

The company converted 28.21 lakh warrants into equity shares on July 10, 2026, fulfilling the terms of a preferential allotment made on February 21, 2025. The issue price was ₹132.20 per warrant, which included an initial payment and a subsequent exercise payment of ₹33.05 per warrant. This conversion increased the total equity share capital to ₹32.65 crore, comprising 3.26 crore shares of ₹10 each.

Promoter Holdings and Market Activity

Vikas Jain and Piyush Jain converted their respective holdings of 11.34 lakh warrants each. Post-allotment, their combined holding in voting rights stands at 65.94%. However, the promoters reduced their stake by selling 1.11 lakh shares through the open market on June 29 and June 30, 2026. The sales were made by Vikas Jain (51,546 shares) and Piyush Jain (60,105 shares).