Share India Securities Limited has taken a significant step in its financial strategy by approving the issuance of Non-Convertible Debentures (NCDs) worth INR 50 crore. The company's Finance Committee has given the green light for this move, which aims to raise funds through a private placement.

Key Details of the NCD Issuance

Security and Guarantees

The NCDs will be secured by a first ranking pari passu charge on:

• MTF loan receivables
• Securities for trade
• Present and future current assets (except encumbered cash)

Additionally, the issue is backed by personal guarantees from the company's promoters. The security coverage is set at a minimum of 1.5 times the outstanding amount.

Default Clause

In the event of a payment default exceeding three months, an additional interest of 2% per annum will be charged over the coupon rate until the default is rectified.

Regulatory Compliance

This NCD issuance is part of a larger fund-raising initiative approved by the Board of Directors, allowing the company to raise up to INR 300 crore through various debt securities on a private placement basis.

The move aligns with Share India Securities' strategy to strengthen its financial position and potentially fund its growth initiatives. Investors and market watchers will likely keep a close eye on how the company utilizes these funds and the impact on its financial performance in the coming quarters.

As the financial landscape continues to evolve, such strategic debt issuances reflect ongoing efforts to optimize capital structures and leverage market opportunities.

Share India Securities Limited has announced a significant investment in its wholly owned subsidiary, Share India Capital Services Private Limited (SICSPL). The company's Finance Committee has approved an additional investment of ₹27.99 crore, aimed at bolstering SICSPL's financial position and supporting its business expansion plans.

Investment Details

The investment will be made through the subscription of 81,63,265 equity shares at ₹34.30 per share on a rights basis. This price includes a face value of ₹10.00 and a premium of ₹24.30 per share. The transaction is expected to be completed within seven working days from the date of disclosure.

About Share India Capital Services Private Limited

SICSPL, incorporated on January 22, 2016, operates as a Category-1 Merchant Banker registered with SEBI. The company provides services such as merchant banking, valuation, consulting, advisory, and underwriting to a large number of business enterprises.

Financial Performance

SICSPL has shown impressive growth in recent years:

The company's net worth stood at ₹17.96 crore as of March 31, 2025.

Strategic Implications

This investment is part of Share India Securities' long-term strategy to nurture its subsidiaries and drive sustained growth. By infusing additional capital, the parent company aims to enhance SICSPL's financial strength, supporting its ongoing development and operations in the competitive financial services sector.

Related Party Transaction

As SICSPL is a wholly owned subsidiary of Share India Securities, this investment qualifies as a related party transaction under Section 2(76) of the Companies Act, 2013. However, the company has stated that the transaction is being conducted on an arm's length basis and in the ordinary course of business.

This strategic move is expected to contribute to the overall growth of the Share India Securities group, potentially leading to enhanced value for shareholders in the long term.