Ashika Credit Capital Limited (ACCL) shareholders have given a resounding approval to the proposed amalgamation with Yaduka Financial Services Limited. The decision was made during a special meeting convened as per the directions of the National Company Law Tribunal (NCLT), Kolkata Bench, held on August 16, 2025.

Overwhelming Shareholder Support

The resolution for the merger received near-unanimous support, with 99.99% of votes cast in favor of the scheme. Out of the total 25,569,718 votes polled, 25,569,180 were in support of the amalgamation, while only 538 votes were against it.

Meeting Details

The meeting, conducted via video conferencing in compliance with regulatory guidelines, saw participation from 48 shareholders. This represented 52.10% of the total value of equity shareholders as of the cut-off date of August 9, 2025. The company has a total of 4,126 shareholders on record.

Voting Process

ACCL utilized the platform provided by the National Securities Depository Limited (NSDL) for the e-voting process. Shareholders were given the opportunity to cast their votes through remote e-voting prior to the meeting, as well as during the meeting for those who hadn't voted earlier.

Key Points of the Amalgamation

• Appointed Date: The scheme of amalgamation has an appointed date of October 1, 2024.
• Companies Involved: Yaduka Financial Services Limited (Transferor Company) will merge with Ashika Credit Capital Limited (Transferee Company).
• Regulatory Compliance: The amalgamation is subject to the approval of the Hon'ble National Company Law Tribunal, Kolkata Bench, and other regulatory authorities as applicable.

Management's Response

Mr. Pawan Jain, Chairperson of ACCL, provided a brief background on the companies involved and highlighted the salient features, synergies, and benefits of the amalgamation scheme during the meeting.

Next Steps

Following the shareholder approval, the company will proceed with obtaining necessary regulatory clearances. The voting results and the Scrutinizer's Report have been made available on the company's website and the NSDL e-voting platform.

This strategic move is expected to strengthen Ashika Credit Capital's position in the financial services sector, potentially leading to improved operational efficiencies and expanded market reach.

Ashika Credit Capital Limited (ACCL), a non-banking financial company, has announced significant developments and financial results, marking a period of strategic growth and regulatory changes for the company.

Reclassification to NBFC-Middle Layer

The company reported that its consolidated asset size, along with other NBFCs in its group, exceeded Rs. 1,000.00 crore. This milestone has led to ACCL's reclassification from an NBFC-Base Layer to an NBFC-Middle Layer entity. This change necessitates compliance with additional regulatory norms, reflecting the company's growing financial stature.

Financial Highlights

ACCL reported the following standalone financial results:

The company's performance shows a significant increase in revenue, primarily driven by net gains on fair value changes amounting to Rs. 6,687.07 crore.

Fund Utilization from Preferential Issue

Ashika Credit Capital Ltd reported no deviations or variations in fund utilization from its preferential issue. The company converted 50,82,664 warrants into equity shares at Rs. 306 per share, raising Rs. 74.08 crore. Additionally, 18,54,964 warrants were converted, generating Rs. 42.55 crore.

The funds are allocated as follows:

• Investment in shares and securities: Rs. 200.48 crore
• Repayment of borrowings: Rs. 35.00 crore
• Working capital requirements: Rs. 45.00 crore
• Loans to group company Ashika Stock Broking Limited: Rs. 50.00 crore

Some warrants totaling Rs. 1.37 crore were forfeited due to non-exercise within the stipulated timeframe. The company's audit committee reviewed and the board approved these statements. Acuite Ratings & Research Limited serves as the monitoring agency.

Subsidiary Stake Acquisition

ACCL's Board has approved the acquisition of an additional 24.5% stake in its subsidiary, Ashika Private Equity Advisors Pvt Ltd (APEAPL). This acquisition, valued at Rs. 24,500.00, will increase ACCL's total holding to 75.50%.

APEAPL is set to serve as the investment manager to Ashika Private Equity Trust, which is in the process of seeking SEBI registration as a Category II Alternative Investment Fund.

Expansion into Insurance Business

The Board has also approved exploring opportunities in the insurance-related business, signaling the company's intent to diversify its financial services portfolio.

New Corporate Office

ACCL has established a new corporate office in Mumbai at Altimus, 35th Floor, Office No. 3501, Dr. GM Bhosale Marg, Worli. This expansion into Mumbai underscores the company's ambitions for broader market reach.

Warrants Conversion and Forfeiture

During the period, ACCL converted 50,82,664 warrants into an equal number of equity shares. However, 59,536 warrants were forfeited due to non-receipt of the balance 75% consideration within the stipulated period, resulting in the company retaining the 25% upfront payment of Rs. 45.55 lakh.

Ongoing Corporate Actions

The company continues to progress on previously announced corporate actions, including:

1. A proposed merger with Yaduka Financial Services Limited, awaiting necessary approvals.
2. A composite scheme of amalgamation involving Ashika Commodities & Derivatives Private Limited and Ashika Global Securities Private Limited, pending regulatory clearances.

These developments collectively paint a picture of Ashika Credit Capital Limited's strategic growth initiatives, financial performance, and evolving regulatory status, positioning the company for potential expansion in the financial services sector.