Richfield Financial Services Plans Rs 10 Crore Preferential Share Issue

Richfield Financial Services Limited (RFSL) has announced plans for a capital raise through a preferential share issue, aiming to bolster its financial position and support future growth initiatives.

Key Details of the Preferential Issue

The company intends to issue 40 lakh equity shares at Rs 25 per share, which includes a premium of Rs 15 over the face value of Rs 10. This move is expected to raise Rs 10 crore from a mix of promoter and non-promoter investors.

Pricing and Valuation

The issue price of Rs 25 per share is above the minimum valuation of Rs 23.97 per share, as determined by an independent registered valuer. This pricing adheres to the Securities and Exchange Board of India (SEBI) regulations for such issues.

Allotment Details

Category	Number of Allottees	Shares to be Allotted
Promoter	1	40,000
Non-Promoter	138	39,60,000
Total	139	40,00,000

Shareholding Impact

The preferential issue will lead to changes in the company's shareholding pattern:

Category	Pre-Issue (%)	Post-Issue (%)
Promoter and Promoter Group	47.52	31.34
Public Shareholding	52.48	68.66

Use of Proceeds

RFSL plans to utilize the funds raised for:

Business activities
Financing future growth opportunities
General corporate purposes

Extraordinary General Meeting

The company has scheduled an Extraordinary General Meeting (EGM) on December 3, 2025, to seek shareholder approval for this preferential issue. The EGM will be conducted through video conferencing, in line with regulatory guidelines.

Important Dates

Book Closure: November 27 to December 3, 2025
E-voting Period: November 30 to December 2, 2025
Cut-off Date for E-voting Eligibility: November 26, 2025

Management Commentary

Vadasseril Chacko Georgekutty, Managing Director of Richfield Financial Services Limited, is among the proposed allottees in the promoter category.

This capital raise through preferential allotment may potentially strengthen RFSL's financial position, providing it with resources for expansion and operational enhancements. Shareholders and potential investors should carefully consider the information provided in the company's official communications and seek professional advice if needed before making investment decisions.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-6.20%	-3.60%	+2.54%	-9.20%	+25.50%	+955.28%

Richfield Financial Services Limited has announced a significant move to raise capital through a preferential share issue, as approved by its Board of Directors in a meeting held on October 14, 2025. The company plans to issue 40,00,000 equity shares at Rs 25.00 per share, aiming to raise a total of Rs 10.00 crores.

Key Details of the Share Issue

Particulars	Details
Number of Shares	40,00,000
Face Value	Rs 10.00 per share
Issue Price	Rs 25.00 per share (including Rs 15.00 premium)
Total Capital Raised	Rs 10.00 crores
Number of Investors	142 (141 non-promoters, 1 promoter)

Strategic Decisions and Compliance

The board meeting, which commenced at 3:00 PM and concluded at 5:00 PM, resulted in several key decisions:

Preferential Allotment: The company will issue shares to both non-promoter and promoter investors, with V C Georgekutty being the sole promoter participant.
Separate Bank Account: A dedicated bank account will be opened specifically for this preferential issue.
Registered Valuer Appointment: CA S Dehaleesan (Registration No. IBBI/RV/04/2019/11659) has been appointed as the Registered Valuer to determine the pricing for the preferential issue.
Corporate Agent License: The board has approved a proposal to apply for a Corporate Agent License under the Insurance Regulatory and Development Authority of India (IRDAI).

Investor Participation

The preferential issue has attracted a diverse group of investors, including individuals and an entity named "Ente Naadu Multi State Agro Cooperative Society Lt". This broad investor base suggests confidence in the company's future prospects.

Regulatory Compliance

Richfield Financial Services has ensured compliance with SEBI regulations, particularly Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has provided detailed information about the issue, including the list of all 142 investors, to maintain transparency.

Conclusion

This capital raising initiative by Richfield Financial Services Limited demonstrates the company's efforts to strengthen its financial position. The successful attraction of a large number of investors, including both promoter and non-promoter entities, may indicate positive market sentiment towards the company's growth prospects. Shareholders and potential investors should monitor how the company utilizes these funds and any subsequent impact on its financial performance and market position.