Faalcon Concepts Limited , a company listed on the SME platform of BSE, has announced plans for a significant capital raise through a preferential allotment of equity shares and convertible warrants. The company's board of directors approved the issuance in a meeting held on November 1, 2025.

Key Details of the Preferential Allotment

The board has approved the following:

1. An increase in the authorized share capital from ₹10.50 crore to ₹14.00 crore.
2. Issuance of up to 12 lakh convertible warrants to promoters at ₹44.50 each.
3. Allotment of up to 20.50 lakh equity shares to non-promoter entities at ₹44.50 per share.

The total capital to be raised through this preferential allotment is approximately ₹14.46 crore.

Warrant and Share Allocation

The warrants and shares will be allocated as follows:

Terms of the Warrants

The warrants come with the following conditions:

• Convertible into one equity share each within 18 months from the date of allotment.
• 25% of the warrant price payable upfront, with the remaining 75% due at the time of conversion.

Use of Funds

The company plans to use the raised capital for:

• Supporting working capital requirements
• General corporate purposes
• Other purposes as approved by the board

Shareholder Approval and EGM

An Extraordinary General Meeting (EGM) is scheduled for November 28, 2025, to seek shareholder approval for these proposals. The meeting will be held through video conferencing.

Impact on Shareholding

Post-allotment, assuming full conversion of warrants, the promoter shareholding is expected to decrease from 67.96% to 60.20% of the expanded equity base. This decrease in percentage is due to the larger increase in the total number of outstanding shares.

Correction Notice

The company issued a clarification letter on November 6, 2025, addressing typo errors in the original board meeting outcome disclosure. This demonstrates the company's commitment to accurate and transparent communication with its shareholders and the market.

Investors and market participants should note that this preferential allotment is subject to necessary regulatory and shareholder approvals. The pricing of ₹44.50 per share represents a premium to the stock's recent trading levels, potentially indicating management's confidence in the company's future prospects.

Faalcon Concepts Limited has announced significant changes to its share capital structure and plans for preferential allotment. The company's Board of Directors, in a meeting held on November 1, 2025, approved several key proposals aimed at strengthening its capital base and raising funds.

Authorized Share Capital Increase

The Board has approved an increase in the company's authorized share capital from ₹10.50 crore to ₹14.00 crore. This will be achieved by creating an additional 35 lakh equity shares of ₹10 each.

Preferential Allotment Details

The Board has also approved two separate preferential allotments:

1. Convertible Warrants to Promoters: Issue of up to 12 lakh convertible warrants at ₹44.50 each to the company's promoters.
2. Equity Shares to Non-Promoters: Issue of up to 20.50 lakh equity shares at ₹44.50 each to identified non-promoter entities.

The total fund raise through these preferential allotments is expected to be ₹14.46 crore.

Key Details of the Preferential Issue

Post-Issue Shareholding Impact

The preferential allotment, if fully subscribed and converted, will significantly alter the company's shareholding structure:

Next Steps

An Extraordinary General Meeting (EGM) has been scheduled for November 28, 2025, to seek shareholder approval for these proposals. The meeting will be conducted through video conferencing or other audio-visual means.

These corporate actions represent a significant development for Faalcon Concepts Limited, potentially impacting its capital structure and ownership pattern. Investors and stakeholders should closely monitor the outcomes of the upcoming EGM and any subsequent developments related to this preferential allotment.