SMC Global Securities Limited , a prominent player in the financial services sector, has announced plans to broaden its business scope through amendments to its Memorandum of Association (MOA). The company has issued a postal ballot notice seeking shareholder approval for these changes, which aim to align the company's objectives with evolving market dynamics and regulatory environments.

Key Proposed Amendments

The proposed alterations to the Object Clause of the MOA include:

1. Expansion of Core Activities:

   • Explicit inclusion of margin trading facilities
   • Development of technology-enabled digital trading platforms
   • Implementation of fintech and AI-driven systems
   • Addition of custodian services

2. Distribution of Third-Party Products:

   • Inclusion of mutual funds, bonds, and insurance products

3. Correction of Typographical Error:

   • Changing 'arbitrary' to 'arbitrage' in clause 3

Voting Process and Timeline

Shareholders can cast their votes electronically through the e-voting system provided by MUFG Intime India Private Limited, the company's Registrar and Share Transfer Agent.

Rationale Behind the Amendments

The company states that these amendments are primarily clarificatory and align with its existing business activities in financial services. The changes are designed to:

1. Strengthen the business framework
2. Leverage existing capabilities and infrastructure
3. Adapt to the evolving regulatory landscape
4. Embrace technological advancements in financial services

Impact on Business Operations

While the amendments do not introduce entirely new business lines, they provide SMC Global Securities with greater flexibility to:

1. Expand into complementary financial services
2. Develop and implement advanced trading technologies
3. Offer a wider range of financial products to clients

The inclusion of custodian services, in particular, is seen as a strategic move to capitalize on the growing institutional participation in alternative investment funds (AIFs), portfolio management services (PMS), and foreign investor segments.

Shareholder Considerations

Shareholders are advised to carefully review the proposed changes and their potential impact on the company's future direction. The amendments, if approved, would position SMC Global Securities to adapt more readily to the rapidly changing landscape of financial services and technology-driven trading platforms.

As the financial services sector continues to evolve, SMC Global Securities' proactive approach in updating its MOA demonstrates its commitment to staying competitive and relevant in a dynamic market environment.

Shareholders have until December 3, 2025, to cast their votes on this significant corporate action that could shape the company's strategic direction in the coming years.

SMC Global Securities Limited , a prominent player in the Indian financial services sector, has announced its financial results for the quarter ended September 30, 2025, revealing a mixed performance characterized by revenue growth but declining profits.

Revenue Growth Amidst Profit Decline

For the quarter ended September 30, 2025, SMC Global Securities reported:

The company witnessed an increase in its total revenue from operations, indicating robust business activity across its segments. However, the profit after tax saw a decline compared to the same period last year.

Half-Year Performance

The half-year results painted a similar picture:

Segment-wise Performance

SMC Global Securities operates through three main business segments:

1. Broking, distribution, and trading
2. Insurance broking services
3. Financing activities

While specific segment-wise data for the quarter was not provided, the diversified nature of SMC's operations likely contributed to its overall revenue growth despite challenging market conditions.

Strategic Initiatives

Bonus Share Issue

The Board of Directors has approved a 1:1 bonus issue of 10.47 crore equity shares, subject to shareholder approval. This would effectively double the company's paid-up equity share capital to ₹4,188 lakhs.

Non-Convertible Debentures (NCDs) Issuance

SMC Global Securities has successfully raised ₹13,385.86 lakhs through Non-Convertible Debentures (NCDs). The NCDs come with interest rates ranging from 10% to 10.50% and varying maturity periods from 2026 to 2030, indicating the company's focus on long-term capital raising to support its growth initiatives.

Outlook

While SMC Global Securities has shown resilience in its revenue generation, the decline in profitability may be a concern for investors. The company's efforts to strengthen its capital base through bonus shares and NCD issuance suggest a focus on long-term growth and financial stability.

As the financial services landscape continues to evolve, SMC's diversified business model and strategic capital raising initiatives may position it well to navigate market challenges and capitalize on emerging opportunities in the Indian financial sector.

Corporate Governance Update

In a separate announcement, the company disclosed that its Board of Directors has approved amendments to the Object Clauses of its Memorandum of Association. These changes aim to explicitly incorporate certain activities already covered in principle within the existing business objects and to include the business of providing custodian services in accordance with SEBI regulations. This move aligns with SMC's strategic objective of expanding into the custodian services business and ensures compliance with applicable regulatory frameworks.

These developments underscore SMC Global Securities' commitment to diversifying its service offerings and adapting to the evolving regulatory landscape in the financial services sector.