Capfin India Limited has announced a significant capital raising initiative through preferential allotment, with the Board of Directors approving the issuance of equity shares to selected investors. The decision was made during a board meeting held on February 20, 2026, and represents a strategic move to strengthen the company's financial position.

Board Approval and Share Details

The board approved the issuance of 16,10,000 fully paid-up equity shares on a preferential basis. The shares carry a face value of Rs. 10 each and will be issued at Rs. 32.88 per share, including a premium of Rs. 22.88 per equity share.

Investor Categories and Allottees

The preferential allotment includes both promoter and non-promoter categories, demonstrating a balanced approach to capital raising. The proposed allottees comprise a mix of individual investors and institutional participants.

The inclusion of institutional investors like Nautilus Private Capital Ltd and Magnifica Global Opportunities VCC - Mgo High Conviction Fund Incorporated Vcc Sub-Fund indicates professional investor interest in the company's prospects.

Regulatory Compliance

The preferential allotment has been structured in accordance with the provisions of the Companies Act, 2013 and Chapter V of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018. The pricing determination follows SEBI ICDR Regulations guidelines, ensuring compliance with regulatory frameworks.

The company has fulfilled its disclosure obligations under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, providing comprehensive details about the proposed issuance to BSE Limited.

Next Steps

The preferential allotment remains subject to approval from the company's members, representing a standard procedural requirement for such capital raising activities. The cash consideration structure and regulatory compliance framework position the initiative for smooth execution upon receiving necessary approvals.

This capital raising exercise reflects Capfin India Limited's strategic approach to accessing growth capital while maintaining regulatory compliance and involving both existing promoters and new institutional investors in the company's expansion plans.

Capfin India Limited has announced its unaudited financial results for the quarter and nine months ended December 31, 2025, revealing a challenging performance with the company reporting a net loss of ₹4.59 lakhs for the third quarter compared to a profit of ₹7.02 lakhs in the corresponding quarter of the previous year.

Financial Performance Overview

The company's quarterly performance showed a marked deterioration across key metrics. Revenue from operations declined to ₹5.99 lakhs in Q3FY26 from ₹7.47 lakhs in Q3FY25, representing a significant decrease in business activity.

Nine-Month Performance Analysis

The nine-month period ending December 31, 2025, presented an even more concerning picture for the financial services company. Total revenue from operations reached ₹17.90 lakhs compared to ₹86.03 lakhs in the corresponding nine-month period of the previous year.

Expense Structure and Operational Metrics

The company's expense profile showed significant changes during the quarter. Total expenses increased to ₹12.12 lakhs in Q3FY26 from ₹1.38 lakhs in Q3FY25. Key expense components included:

• Employee benefit expenses: ₹3.25 lakhs (compared to nil in Q3FY25)
• Fees & Commission expenses: ₹4.87 lakhs (new expense category)
• Impairment of Financial Instruments: ₹0.66 lakhs
• Other expenses: ₹3.26 lakhs (increased from ₹1.38 lakhs)

Corporate Governance and Compliance

The Board of Directors of Capfin India Limited convened on January 23, 2026, from 4:16 PM to 4:41 PM IST to approve the unaudited financial results. The results were reviewed and recommended by the Audit Committee before board approval. The company's statutory auditors, Mehra Goel and Company, issued a limited review report with no qualifications for the quarter and nine months ended December 31, 2025.

Share Capital and Earnings Per Share

The company maintained its paid-up equity share capital at ₹293.82 lakhs, with each equity share having a face value of ₹10.00. The basic and diluted earnings per share for Q3FY26 stood at negative ₹0.16 compared to positive ₹0.25 in Q3FY25. For the nine-month period, the EPS declined to negative ₹1.12 from positive ₹1.73 in the corresponding period of the previous year.

Capfin India Limited, engaged in financial lending as its primary business segment, operates from its registered office in Pune, Maharashtra. The company's results reflect the challenges faced in its core lending operations during the reported period.