Chandni machines Limited has successfully completed a preferential allotment of equity shares and convertible warrants, as announced by the company's Board of Directors on January 30, 2026. The allotment represents a significant capital raising exercise for the Mumbai-based industrial machinery manufacturer.

Allotment Details

The Board approved the allotment of securities at an issue price of Rs. 52.50 per share, including a premium of Rs. 42.50 over the face value of Rs. 10.00. The allotment comprises two distinct categories of securities issued on a preferential basis to selected investors.

Warrant Structure and Payment Terms

The 40,00,000 fully convertible warrants carry specific conversion terms and payment obligations. Each warrant is convertible into one fully paid-up equity share of face value Rs. 10.00 at the option of the allottee within a maximum period of 18 months from the allotment date.

The company has received 25% of the warrant issue price upfront, amounting to Rs. 13.125 per warrant. This translates to total upfront collections of Rs. 5,25,00,000 from warrant subscribers. Jayesh R. Mehta has been allotted all 40,00,000 warrants as the sole warrant investor.

Cancelled Allotments

The Board decided to cancel the issuance of 3,73,100 equity shares due to non-receipt of allotment money by the due date. This cancellation affects multiple investors across two categories:

Complete Cancellations:

• 7 investors with total cancelled shares: 2,62,000
• Notable cancellations include Vaishaliben Mehulkumar Panchal (1,00,000 shares)

Partial Cancellations:

• 4 investors with partial allotments due to incomplete payments
• Bhanumati Premji Mirani: Applied for 1,00,000, allotted 7,600, cancelled 92,400

Shareholding Pattern Impact

The preferential allotment will significantly alter the company's shareholding structure. On a fully diluted basis, assuming complete conversion of all warrants, the total share count will increase from 32,27,433 to 1,10,38,333 shares.

The preferential allotment involved 75 equity share investors with varying investment amounts. The largest equity allocation went to Bhavika Dhirajlal Chavada with 6,30,000 shares worth Rs. 3,30,75,000, followed by Umashankar Lath with 2,00,000 shares valued at Rs. 1,05,00,000.

Regulatory Compliance

The allotment was conducted in accordance with SEBI (ICDR) Regulations, 2018, and the company has fulfilled all disclosure requirements under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. All payments were made in cash, and the company has taken necessary actions regarding cancelled allotments in compliance with the Companies Act, 2013.

Chandni Machines Limited , a Mumbai-based company, has announced a capital raising initiative through a preferential allotment of equity shares and warrants. The company held an Extraordinary General Meeting (EGM) on November 27, 2025, where shareholders approved key measures to facilitate this capital raise.

Key Highlights of the Capital Raise

• Authorized Share Capital Increase: The shareholders approved increasing the company's authorized share capital from Rs 3.25 crores to Rs 11.50 crores.

• Equity Share Issuance: Up to 41,84,000 equity shares will be issued to public category investors, amounting to Rs 21.96 crores.

• Warrant Issuance: 40,00,000 warrants, convertible into equity shares, will be issued to the promoter group, totaling Rs 21.00 crores.

• Total Capital Raise: The combined value of the equity shares and warrants issuance amounts to Rs 42.96 crores.

Details of the Preferential Allotment

Impact on Shareholding Pattern

The preferential allotment is expected to alter the company's shareholding structure:

Additional Information

• The warrants are convertible into equity shares within 18 months from the date of allotment.
• The issue is subject to necessary permissions, sanctions, and approvals under applicable laws and regulations.

This capital raising initiative by Chandni Machines represents a strategic move to strengthen its financial position. The increased promoter stake post-allotment may be viewed as a sign of confidence in the company's future prospects.

Investors should note that the actual impact of this capital infusion on the company's operations and financial performance will become clearer in the coming quarters. As always, potential investors are advised to conduct their own research and consider their financial goals before making any investment decisions based on this corporate action.