Deccan Gold Mines Clears All Debts Through ₹314.70 Crore Rights Issue

Deccan Gold Mines has achieved a major financial restructuring milestone by successfully completing a ₹314.70 crore rights issue, enabling the company to eliminate all outstanding debts and strengthen its balance sheet. The mining company utilized the entire proceeds from this capital raising exercise to pay off all existing loans, marking a significant improvement in its financial health.

Financial Restructuring Details

The comprehensive debt clearance initiative involved the following key parameters:

Parameter:	Details
Rights Issue Amount:	₹314.70 crores
Debt Status:	All loans cleared
Financial Impact:	Complete debt elimination
Strategic Outcome:	Enhanced financial flexibility

Strategic Implications

The successful completion of this rights issue represents a transformative moment for Deccan Gold Mines' financial structure. By eliminating all debt obligations, the company has significantly reduced its financial burden and interest expenses, which should positively impact future profitability and cash flow generation.

Future Growth Positioning

With a debt-free balance sheet, the company is now better positioned to pursue growth opportunities and strategic initiatives. The elimination of loan obligations provides greater financial flexibility and reduces operational constraints that typically accompany high debt levels.

Market Response and Investor Confidence

The successful completion of the ₹314.70 crore rights issue demonstrates investor confidence in the company's prospects and management's strategic vision. This capital raising exercise not only addressed immediate debt concerns but also established a stronger foundation for future operations and expansion plans.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.41%	-10.60%	-11.89%	-32.03%	-14.36%	+379.82%

Deccan Gold Mines Limited has completed the allotment of 3,93,37,893 fully paid-up equity shares through its rights issue, following the finalization of the basis of allotment in consultation with the registrar and BSE Limited. The Board of Directors approved the allotment through a circular resolution dated December 29, 2025.

Rights Issue Completion Details

The company allotted equity shares at an issue price of ₹80 per share, including a premium of ₹79 per equity share with a face value of ₹1 each. The allotment was made to eligible equity shareholders and applicants including renouncees as per the rights issue terms.

Parameter:	Details
Shares Allotted:	3,93,37,893
Issue Price:	₹80 per share
Premium:	₹79 per share
Face Value:	₹1 per share
Total Issue Size:	₹314.70 crores

Share Capital Enhancement

Following the rights issue allotment, the company's paid-up equity share capital has increased significantly. The additional equity shares will rank pari-passu in all respects with the existing fully paid-up equity shares of the company.

Capital Component:	Before Rights Issue	After Rights Issue	Change
Paid-up Capital:	₹15.76 crores	₹19.70 crores	+₹3.93 crores
Equity Shares:	15,76,13,822	19,69,51,715	+3,93,37,893

Previous Promoter Transactions

Prior to the rights issue completion, the company had disclosed promoter transactions involving rights entitlements. Rama Mines Mauritius Limited and Australian Indian Resources Limited sold rights entitlements worth ₹73.41 crores through market transactions on BSE between December 19-22, 2025.

Entity:	Transaction Date	Rights Entitlements Sold	Transaction Value (₹)
RMML:	December 22, 2025	14,00,000	42,73,205.18
AIR (Transaction 1):	December 19, 2025	25,53,777	Not specified
AIR (Transaction 2):	December 22, 2025	10,00,000	30,78,824.00

Regulatory Compliance

The rights issue allotment disclosure was made pursuant to Regulation 30 read with Schedule III of SEBI Listing Regulations. The communication was signed by Subramaniam Sundaram, Whole Time Director and Company Secretary, ensuring compliance with continual disclosure requirements for capital structure changes.