Federal Bank has completed the allotment of equity shares to employees under its Employee Stock Option Schemes (ESOS), as announced in a regulatory filing dated February 23, 2026. The allotment was executed following approval from the bank's Nomination, Remuneration, Ethics and Compensation Committee.

Share Allotment Details

The bank allotted a total of 4,18,906 equity shares across two ESOS schemes on February 23, 2026. The allotment was made after the option grantees completed the payment of money as required under the respective schemes.

Regulatory Compliance

The allotment was conducted in accordance with Regulation 30 of the Securities and Exchange Board of India (SEBI) regulations. The bank has informed both the National Stock Exchange of India Limited and BSE Limited about the share allotment through official communication.

ESOS Implementation

The Employee Stock Option Schemes represent the bank's commitment to employee participation in the organization's growth. Under the ESOS 2010 Scheme, 7,050 equity shares were allotted to option grantees, while the more substantial allocation of 4,11,856 shares was made under the newer ESOS 2017 Scheme.

All allotted shares carry a face value of Rs. 2/- each and have been issued following the completion of payment requirements by the respective option grantees. The communication was signed by Company Secretary Samir P Rajdev and has been submitted to the stock exchanges for record purposes.

Asia II Topco XIII Pte. Ltd. has completed a substantial acquisition of warrants in federal bank through preferential allotment, marking a significant investment in the private sector lender. The Singapore-based entity acquired 27,29,74,043 warrants on February 16, 2026, as disclosed under SEBI's substantial acquisition regulations.

Acquisition Details

The warrant acquisition was executed through preferential allotment at INR 227 per warrant. Each warrant provides the right to subscribe to one fully paid equity share of Federal Bank with a face value of INR 2 and premium of INR 225 per share.

Shareholding Pattern Impact

The acquisition significantly alters Asia II Topco XIII's position in Federal Bank, moving from zero holdings to a substantial stake in the diluted capital structure.

Warrant Terms and Exercise Period

The warrants carry specific terms governing their conversion into equity shares. They are exercisable within 18 months from the allotment date, allowing flexibility for conversion in one or more tranches. The exercise period may be shortened based on terms outlined in the Investment Agreement executed between Federal Bank and Asia II Topco XIII on October 24, 2025.

Federal Bank's Capital Structure

Federal Bank's equity share capital remains unchanged at INR 492,60,74,622, comprising 246,30,37,311 equity shares of INR 2 face value each. However, the total diluted share capital, accounting for outstanding warrants and employee stock options, stands at INR 551,80,11,470, consisting of 275,90,05,735 equity shares.

Regulatory Compliance

The disclosure was made under Regulation 29(1) of SEBI's Substantial Acquisition of Shares and Takeovers Regulations, 2011. Asia II Topco XIII, represented by Director Lixian Wang, confirmed it does not belong to the promoter or promoter group of Federal Bank. The company has fulfilled all mandatory disclosure requirements to NSE, BSE, and Federal Bank following the warrant allotment.