Desh Rakshak Aushdhalaya Limited , a manufacturer of Ayurvedic and herbal products, has announced a significant change in its shareholding structure following a preferential allotment of equity shares. The company, listed on the Bombay Stock Exchange, saw its promoter group shareholding decrease from 64.28% to 50.07% as a result of the new share issuance.

Preferential Allotment Details

The preferential allotment increased the company's equity share capital from Rs. 4,43,83,240 to Rs. 5,69,83,240. This represents an increase in the total number of equity shares from 44,38,324 to 56,98,324, with each share having a face value of Rs. 10.

New Investors

The newly issued shares were allotted to non-promoter public category investors. Two significant investors emerged from this allotment:

1. Mr. Navneet Chaturvedi acquired 5,50,000 shares, representing 9.65% of the company's post-issue share capital.
2. Mrs. Ruchika Chaturvedi also acquired 5,50,000 shares, accounting for another 9.65% stake.

Together, Mr. Navneet Chaturvedi and Mrs. Ruchika Chaturvedi now hold a combined 19.30% stake in Desh Rakshak Aushdhalaya Limited.

Impact on Promoter Shareholding

While the promoter group's percentage shareholding has decreased, their absolute number of shares remains unchanged at 28,53,100. The dilution in their stake is a result of the increase in the total number of outstanding shares.

The company's promoter group includes:

• Mrs. Monika Jain
• Mrs. Sudesh Jain
• Mr. Tosh Kumar Jain
• Mr. Arihant Kumar Jain

It's worth noting that Mr. Manoj Kumar Jain and Mrs. Payal Jain, while listed as part of the promoter group, are reported as not being alive.

Regulatory Compliance

Desh Rakshak Aushdhalaya Limited has made the necessary disclosures under Regulation 29(2) of the Securities and Exchange Board of India (SEBI) (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The company's management, led by Managing Director Mr. Tosh Kumar Jain, has ensured compliance with all relevant regulatory requirements related to this preferential allotment.

Company Background

Established in 1901, Desh Rakshak Aushdhalaya Limited (CIN: L33119UR1981PLC006092) is based in Haridwar, Uttarakhand. The company specializes in the manufacture of Ayurvedic and herbal products, contributing to India's traditional medicine sector.

This preferential allotment marks a significant change in the company's ownership structure, potentially bringing new perspectives and resources to support its future growth and development in the Ayurvedic and herbal products market.

Desh Rakshak Aushdhalaya Limited, a manufacturer of Ayurvedic and herbal products, has approved a significant equity allotment through a preferential issue. The company's Board of Directors, in a meeting held at its registered office in Haridwar, Uttarakhand, gave the green light for the issuance of 12,60,000 equity shares to non-promoter category allottees.

Key Details of the Allotment

• Number of Shares: 12,60,000 (Twelve Lakhs Sixty Thousand)
• Face Value: Rs. 10 per share
• Issue Price: Rs. 22 per share (including a premium of Rs. 12)
• Total Fund Raise: Rs. 2,77,20,000

Allotment Breakdown

The preferential issue has been allocated to four non-promoter category investors:

Impact on Share Capital

Following this preferential allotment, Desh Rakshak Aushdhalaya's issued, subscribed, and paid-up share capital will increase from Rs. 4,43,83,240 to Rs. 5,69,83,240. The total number of equity shares will rise from 44,38,324 to 56,98,324.

Regulatory Compliance

The company has stated that this allotment is in accordance with the Companies Act, 2013, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended, and all other applicable laws. The allotment was approved by shareholders prior to the board's decision.

Board Meeting Details

The board meeting where this decision was made commenced at 1:00 PM and concluded at 1:45 PM. All directors of the company were present at the meeting, which was held at the company's registered office in Haridwar, Uttarakhand.

This equity allotment represents a significant development for Desh Rakshak Aushdhalaya Limited, potentially providing the company with additional capital for its operations in the Ayurvedic and herbal products sector.