Texel Industries Limited has announced the conversion of 4,36,437 warrants into equity shares by its promoter group members through preferential allotment. The conversion was disclosed under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, with Managing Director Shailesh Ramniklal Mehta filing the disclosure on behalf of all promoter and promoter group members.

Warrant Conversion Details

The conversion involved three key promoter group members who exercised their warrants in April 2024:

Impact on Shareholding Structure

The warrant conversion has resulted in a significant change in the promoter group's shareholding pattern. The total promoter and promoter group holding increased from 25.50% to 27.87% of the expanded share capital.

Key Promoter Holdings Post-Conversion

Following the warrant conversion, the major promoter group members hold the following stakes:

• Shailesh Ramniklal Mehta: 9,58,232 shares (6.97%)
• Krishnakant Gulabchand Vakharia: 4,43,227 shares (3.23%)
• Bhupendra Ramniklal Mehta: 4,31,910 shares (3.14%)
• Avani Shailesh Mehta: 4,26,059 shares (3.10%)
• Avishi Anuj Sharedalal: 1,33,721 shares (0.97%)

Outstanding Warrants

Despite the conversion, Avani Shailesh Mehta retains 3,47,875 outstanding warrants, representing 2.47% of the total diluted share capital. The total diluted share capital of the company stands at ₹14,09,13,030, consisting of 1,40,91,303 equity shares.

Regulatory Compliance

The conversion was executed through preferential allotment in accordance with SEBI (ICDR) Regulations. The disclosure was filed with BSE Limited, where Texel Industries shares are listed under scrip code 526638. The company maintains its registered office at Prime Industrial & Logistics Hub, Hariyala, Kheda, Gujarat, and operates in the industrial sector with multiple ISO certifications including ISO-9001:2015, ISO-14001:2015, and ISO-45001:2018.

Texel Industries Limited has successfully completed the final warrant conversion for promoter Avani Shailesh Mehta, converting 1,72,875 fully convertible equity warrants into equity shares. The Finance and Investment Committee approved this conversion during their meeting held on April 16, 2026, following the receipt of the balance consideration amount from the warrant holder.

Final Warrant Conversion Details

The latest conversion involved 1,72,875 warrants being transformed into an equal number of equity shares at an issue price of ₹38.25 per share, including a premium of ₹28.25 each. The allottee, Avani Shailesh Mehta, who belongs to the promoter category, paid the remaining 75% of the full value consideration amounting to ₹49,59,351.56.

Updated Share Capital Structure

The final warrant conversion has resulted in a substantial increase in the company's paid-up equity share capital. The total paid-up capital has risen from ₹13,91,84,280 consisting of 1,39,18,428 fully paid-up equity shares to ₹14,09,13,030 consisting of 1,40,91,303 fully paid-up equity shares, each with a face value of ₹10.

Enhanced Promoter Shareholding

The conversion has significantly strengthened the shareholding pattern for Avani Shailesh Mehta in the promoter category. Her shareholding has increased from 6,01,059 shares representing 4.32% to 7,73,934 shares representing 5.49% of the total paid-up capital, demonstrating continued promoter confidence in the company.

Regulatory Framework and Completion

The warrant conversion was executed in full compliance with SEBI regulations and the SEBI ICDR Regulations. The original warrants were issued on October 05, 2024, following members' approval, in accordance with SEBI ICDR Regulations on a preferential basis. The warrants were issued with an 18-month conversion window, during which warrant holders could exercise their conversion rights by paying the remaining 75% of the consideration amount.

The newly allotted equity shares will rank pari-passu with the existing equity shares of the company, ensuring equal rights and privileges for all shareholders. This conversion represents the complete utilization of all warrant allocations for Avani Shailesh Mehta, with no warrants remaining pending for conversion. The company has successfully completed the warrant conversion process, strengthening its capital structure through active promoter participation.