Brand Concepts has announced a crucial Board of Directors meeting scheduled for September 23, 2025, to deliberate on a potential fundraising initiative through the issuance of warrants convertible into equity shares. The company is exploring this option as a means to bolster its financial position and support future growth plans.

Key Points of the Announcement

• Board Meeting Date: The meeting is set for Tuesday, September 23, 2025.
• Fundraising Method: The board will consider issuing warrants convertible into equity shares on a preferential basis.
• Target Group: The warrants are proposed to be offered to the promoter/promoter group.
• Approval Process: The proposal will require shareholder approval at an upcoming Extraordinary General Meeting (EGM).

Trading Window Closure

In compliance with the Securities and Exchange Board of India (SEBI) regulations and the company's internal Code of Conduct for Prevention of Insider Trading, Brand Concepts has implemented a trading window closure:

• Closure Period: From September 19, 2025 (Friday) to September 25, 2025 (Thursday)
• Affected Parties: Directors, Key Managerial Personnel (KMP), Promoters, Designated Employees, Insiders, and their immediate relatives

This precautionary measure aims to prevent insider trading and ensure fair market practices during this sensitive period of potential fundraising discussions.

Regulatory Compliance

The company has duly informed the National Stock Exchange of India Limited and BSE Limited about the upcoming board meeting and trading window closure, adhering to Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Swati Gupta, Company Secretary & Compliance Officer of Brand Concepts, has officially communicated these developments to the stock exchanges, emphasizing the company's commitment to transparency and regulatory compliance.

Investors and stakeholders are advised to await the outcome of the board meeting, which will be crucial in determining the company's future capital structure and growth trajectory. The market will be keenly watching for the details of the proposed warrant issue, including the potential size of the fundraise and its intended use, which are expected to be disclosed following the board meeting.

Brand Concepts Limited , a leading player in the branded luggage and accessories market, reported losses for Q1 but remains optimistic about future growth prospects. The company faced challenges due to competitive pricing pressures and a shift in consumer perceptions, leading to a strategic realignment of its product pricing and focus on diversification.

Financial Performance and Segment Analysis

The company experienced a decline in its luggage segment, with sales dropping 30% year-over-year to ₹22.29 crores. However, other categories showed promising growth:

• Small leather goods grew by 24%
• Women's handbags surged by 155%
• Backpacks increased by over 50%

The overall EBITDA margin for Q1 stood at 4%, reflecting the impact of competitive pricing and increased operational costs.

Strategic Price Adjustments

In response to the changing market dynamics, Brand Concepts has implemented strategic price adjustments:

Management acknowledges the lower pricing environment as the 'new normal'.

Brand and Product Developments

Despite challenges, the company continues to expand its brand portfolio and product offerings:

• Launched the Juicy Couture brand
• Signed a franchise agreement with luxury brand Off-White
• Opened new airport stores in Bangalore and Mumbai
• Commenced full production at its hard luggage manufacturing facility in July

The new manufacturing facility is currently operating at 50-60% of its 25,000 units monthly capacity, with plans to reach full capacity in the coming months.

Channel Performance and Expansion

While traditional trade and institutional business faced pressures, other channels showed positive trends:

• E-commerce, modern trade, and company-owned stores demonstrated growth
• Plans to expand retail footprint, aiming to cross the 60-store mark by the end of the fiscal year
• Focus on opening marquee locations and increasing store sizes

Future Outlook

Despite the Q1 setback, management remains confident about the company's growth trajectory:

• Targeting 20% revenue growth for the fiscal year
• Expecting to return to growth from Q2 onwards
• Aiming for a 10% EBITDA margin by Q3/Q4

CEO Abhinav Kumar stated, "We are very, very hopeful that we should be able to sort of annualise, we should be able to come back on a growth trajectory."

The company is focusing on strengthening its manufacturing capabilities, expanding its retail presence, and leveraging its diverse brand portfolio to navigate the challenging market conditions and drive future growth.