Dugar Housing Developments Limited (DHFL) is set to undergo a significant ownership change as two individual investors launch an open offer to acquire a substantial stake in the company. The move comes as part of a strategic acquisition process that could reshape the company's ownership structure.

Open Offer Details

Mr. Vinoth Kumar Mohanadas and Mrs. Suseela Kumarappan, referred to as the 'Acquirers', have initiated an open offer to purchase 30,94,000 equity shares of Dugar Housing Developments Limited. This represents a 31.90% stake in the company's fully diluted share and voting capital. The offer price has been set at ₹10.00 per equity share, valuing the total acquisition at approximately ₹3.09 crore.

Regulatory Compliance and Timeline

The open offer process is being conducted in compliance with Regulations 3(1) and 4 of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Key milestones in the process include:

• Release of the pre-offer public announcement
• Receipt of SEBI's observation letter
• Publication of the announcement in newspapers, including Financial Express

Role of Merchant Banker

Systematix Corporate Services Limited, a SEBI-registered merchant banker (Registration No.: INM000004224), is overseeing the acquisition process. The company has been instrumental in managing the regulatory requirements and public communications related to the open offer.

Implications for Shareholders

This open offer provides an opportunity for existing shareholders of Dugar Housing Developments Limited to sell their shares at the specified price of ₹10.00 per share. Shareholders will need to carefully consider the offer in light of the company's current market performance and future prospects.

Market Impact

The announcement of this substantial stake acquisition attempt has likely drawn attention to Dugar Housing Developments Limited in the market. Investors and analysts will be closely watching how this potential change in ownership might affect the company's strategic direction and operational performance.

As the open offer process unfolds, more details are expected to emerge regarding the Acquirers' plans for the company and any potential changes in management or business strategy. Shareholders and potential investors are advised to stay informed about further developments and to consult with financial advisors before making any investment decisions.

The success of this open offer could mark a significant turning point for Dugar Housing Developments Limited, potentially influencing its future growth trajectory and market position in the real estate sector.

Dugar Housing Developments Ltd has witnessed a significant change in its shareholding structure following a recent warrant conversion and preferential allotment. Vinoth Kumar Mohanadas, along with person acting in concert Suseela Kumarappan, have substantially increased their stake in the company.

Warrant Conversion and Share Acquisition

Vinoth Kumar Mohanadas and Suseela Kumarappan acquired a total of 27,00,000 shares in Dugar Housing Developments through the conversion of warrants into equity shares via preferential allotment. This strategic move has resulted in a substantial increase in their combined shareholding from 41.14% to 60.82% of the total shares.

Individual Shareholding Breakdown

• Vinoth Kumar Mohanadas now holds a 54.74% stake in the company, making him the largest individual shareholder.
• Suseela Kumarappan's stake stands at 6.08% following the transaction.

Impact on Company's Equity Structure

The warrant conversion has led to an expansion of Dugar Housing Developments' equity share capital:

Details of the Transaction

• Mode of Acquisition: Preferential Allotment – Conversion of Warrants into Equity Shares
• Date of Acquisition: 12.08.2025
• Stock Exchange: BSE Limited

Equity Rights

The newly issued equity shares resulting from the warrant conversion will rank equally with existing shares, including dividend rights. This ensures that the new shares have the same standing as the previously issued shares in all respects.

Promoter Status

It's important to note that despite the significant increase in shareholding, the acquirers, Vinoth Kumar Mohanadas and Suseela Kumarappan, are not part of the promoter group of Dugar Housing Developments.

This transaction marks a significant shift in the ownership structure of Dugar Housing Developments, with Vinoth Kumar Mohanadas emerging as a major stakeholder.