iStreet Network Limited announced that its Board of Directors has approved a comprehensive share consolidation plan during their meeting held on December 11, 2025. The consolidation proposal involves converting existing equity shares with a face value of ₹4.00 each to equity shares with a face value of ₹10.00 each, subject to approvals from BSE, other regulatory authorities, and the company's shareholders.

Share Consolidation Details

The consolidation will follow a specific ratio structure designed to maintain shareholder value while restructuring the capital base. Under the approved plan, every 5 existing equity shares of ₹4.00 face value will be consolidated into 2 equity shares of ₹10.00 face value, pursuant to Section 61(1)(b) of the Companies Act, 2013.

Capital Structure Impact

The consolidation will significantly alter the company's share count structure while maintaining the same monetary value of capital. The number of authorized shares will decrease from 20.00 crores to 8.00 crores, while paid-up shares will reduce from 6.65 crores to 2.66 crores post-consolidation.

Strategic Rationale

The company outlined several strategic objectives behind the consolidation decision. The management believes this restructuring will align the company with established industry standards and enhance capital structure stability and corporate discipline. The consolidation is expected to improve institutional readiness and reduce volatility while laying a strong foundation for future expansion.

Additional benefits cited include:

• Enhanced ability to attract institutional investors through a more traditional capital structure
• Increased prospects for future FI/DI/HNI placements
• Reduction in overhead costs associated with servicing fragmented shareholders
• Creation of a more serious and long-term investor base
• Greater flexibility in long-term planning and smoother scope for future bonus issues, stock splits, and ESOP structuring

Implementation Timeline

The company expects to complete the share consolidation process within 3 months, subject to timely receipt of regulatory approvals. The consolidation affects only one class of shares - equity shares without differential rights. The final determination of shareholders who may not receive shares in the consolidation will be decided based on the record date to be announced later.

The proposal requires approval from BSE, other requisite regulatory authorities, and the company's shareholders before implementation. Once approved, this consolidation will alter the capital clause of the company's Memorandum of Association accordingly.

iStreet Network Limited has successfully completed a significant capital raise through a preferential allotment of equity shares and warrants. The company's board of directors approved the allotment of 2,20,00,001 equity shares and 6,55,49,997 warrants at ₹6 per share/warrant.

Key Details of the Allotment

Equity Share and Warrant Allotment

The company issued 2,20,00,001 equity shares at ₹6 per share, raising a total of ₹132.00 crore. Additionally, iStreet Network issued 6,55,49,997 warrants at ₹6 per warrant, raising ₹393.30 crore. These securities were allotted to a total of 22 individual and entity investors for equity shares and 9 allottees for warrants.

Regulatory Compliance and Approval

The preferential allotment was conducted following shareholder approval and in-principle approval from BSE Limited, ensuring compliance with listing requirements.

Implications of the Allotment

The newly allotted equity shares will rank pari passu with the existing equity shares of the company. This means they will have equal rights in terms of voting, dividends, and other corporate benefits.

The total capital raise of ₹525.30 crore (₹132.00 crore from equity shares and ₹393.30 crore from warrants) is expected to significantly strengthen iStreet Network's financial position. While the specific use of funds was not disclosed in the announcement, the additional capital could potentially be used for business expansion, debt reduction, or working capital requirements.

Investors should note that this allotment may lead to dilution of existing shareholdings. However, it also represents a substantial vote of confidence from the new investors in the company's future prospects.

The warrants issued are convertible into equity shares upon conversion, which could further impact the company's shareholding structure in the future.

Investors and market participants may want to monitor future announcements from iStreet Network Limited for updates on the utilization of funds and any strategic initiatives that may follow this significant capital infusion.