AVI Polymers Ltd has announced that its board of directors will convene on Saturday, January 17, 2026, to discuss and approve the terms of a proposed rights issue. The meeting, scheduled to be held at the company's registered office, comes as part of the company's capital raising initiatives under SEBI regulations.

Board Meeting Agenda

The board meeting will address several critical aspects of the proposed rights issue. The directors will deliberate on key parameters that will shape the offering structure and terms for existing shareholders.

Rights Issue Parameters Under Review

The board will focus on determining the fundamental structure of the rights issue. Several key components will be evaluated and finalized during the meeting:

• Number of equity shares to be offered through the rights issue
• Issue price per equity share
• Rights entitlement ratio for existing shareholders
• Terms of payment and subscription process
• Record date for determining eligible shareholders
• Timing and schedule for the rights issue launch

Trading Window Restrictions

In accordance with the company's Code of Conduct for Prevention of Insider Trading, AVI Polymers has implemented a trading window closure. The restriction affects directors, designated persons, and their immediate relatives, preventing them from trading in the company's equity shares.

The company has formally notified BSE Limited about the upcoming board meeting, maintaining transparency with the stock exchange and regulatory authorities. This announcement follows the mandatory disclosure requirements under SEBI listing regulations, ensuring all stakeholders are informed about the significant corporate action being considered.

The rights issue, if approved, will provide existing shareholders with the opportunity to subscribe to additional equity shares in proportion to their current holdings, typically at a price below the prevailing market rate.

AVI Polymers Limited has achieved a significant milestone in its fundraising journey, receiving in-principle approval from BSE Limited for its proposed rights issue of fully paid-up equity shares. The BSE approval, issued on January 06, 2026, brings the company closer to completing its Rs 90.00 crore capital raising initiative.

BSE Approval Details

The company received the in-principle approval through BSE's reference letter LOD/Rights/PB/FIP/1490/2025-26 dated January 06, 2026. This approval allows AVI Polymers to use BSE's name in its Letter of Offer for the proposed rights issue, subject to including mandatory disclaimer clauses.

Rights Issue Framework

The Board of Directors had previously approved raising funds up to Rs 90.00 crore through a rights issue of equity shares, each with a face value of Rs 10.00. The company plans to issue equity shares to eligible shareholders, with an authorized Allotment Committee finalizing the detailed terms and conditions.

Compliance Requirements

BSE has outlined several key compliance requirements for AVI Polymers to fulfill:

• Record Date Notice: The company must provide at least three working days advance notice to BSE before fixing the record date
• Price Disclosure: Rights issue price must be disclosed at least 3 working days prior to the record date
• Documentation: Ten printed copies of Letter of Offer and Composite Application Form must be sent to BSE
• Dematerialization: Agreements with all depositories must be in place for dematerialized securities

Financial Position Context

The rights issue approval comes at a time when AVI Polymers has shown positive financial trends:

Strategic Implications

The BSE approval represents a crucial step toward AVI Polymers' capital expansion strategy. The proposed Rs 90.00 crore rights issue is substantial compared to the company's current equity base of Rs 5.70 crore, potentially transforming its financial capabilities and growth prospects.

With the in-principle approval secured, AVI Polymers can now proceed with finalizing the offer documents and completing remaining statutory formalities. The company must ensure compliance with all legal requirements before dispatching the Letter of Offer to shareholders, marking the next phase of this significant fundraising initiative.