News Corporate Actions SUBAM Papers Limited Completes ₹104.38 Crore Preferential Allotment of Warrants and Equity SharesSUBAM Papers Limited Completes ₹104.38 Crore Preferential Allotment of Warrants and Equity Shares
SUBAM Papers Limited successfully raised ₹104.38 crores through preferential allotment of 68,67,200 securities at ₹152 each. The issuance included 26,32,800 warrants exclusively to promoters led by Managing Director Thirupathi Balakumar, and 42,34,400 equity shares to 47 public investors with Madhuri Madhusudan Kela as the largest allottee. The warrants are convertible within 18 months with partial payment structure.
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Subam Papers Limited has successfully completed a significant preferential allotment, raising ₹104.38 crores through the issuance of warrants and equity shares. The Board of Directors approved the allotment on February 04, 2026, marking a major capital raising initiative for the Tamil Nadu-based packaging company.
Allotment Details and Structure
The company allotted a total of 68,67,200 securities comprising 26,32,800 warrants and 42,34,400 equity shares at ₹152.00 per security, including a premium of ₹142.00. The face value of each security stands at ₹10.00.
| Security Type: | Number Allotted | Investment Amount (₹) |
|---|---|---|
| Warrants: | 26,32,800 | 40,01,85,600.00 |
| Equity Shares: | 42,34,400 | 64,36,28,800.00 |
| Total: | 68,67,200 | 1,04,38,14,400.00 |
Warrant Allotment to Promoters
The warrant issuance was exclusively allocated to promoters and promoter group entities. Thirupathi Balakumar, the Managing Director, received the largest allocation of 13,16,000 warrants for ₹20,00,32,000.00. BMM Paper Board Private Limited, a promoter group entity, was allotted 9,87,200 warrants worth ₹15,00,54,400.00, while promoter Alagarsamy Sudha received 3,29,600 warrants valued at ₹5,00,99,200.00.
| Allottee: | Category | Warrants Allotted | Investment (₹) |
|---|---|---|---|
| Thirupathi Balakumar: | Promoter | 13,16,000 | 20,00,32,000.00 |
| BMM Paper Board Pvt Ltd: | Promoter Group | 9,87,200 | 15,00,54,400.00 |
| Alagarsamy Sudha: | Promoter | 3,29,600 | 5,00,99,200.00 |
Equity Share Distribution
The equity shares were allocated to 47 public investors, with Madhuri Madhusudan Kela receiving the largest allocation of 19,28,000 shares for ₹29,30,56,000.00. Other significant allottees include Invicta Continuum Fund I with 4,99,200 shares worth ₹7,58,78,400.00 and Invicta Finserv Private Limited with 2,99,200 shares valued at ₹4,54,78,400.00.
| Major Equity Allottees: | Category | Shares Allotted | Investment (₹) |
|---|---|---|---|
| Madhuri Madhusudan Kela: | Public | 19,28,000 | 29,30,56,000.00 |
| Invicta Continuum Fund I: | Public | 4,99,200 | 7,58,78,400.00 |
| Invicta Finserv Private Limited: | Public | 2,99,200 | 4,54,78,400.00 |
| MD Pai Partners LLP: | Public | 2,04,000 | 3,10,08,000.00 |
| Keshav Dabriwal: | Public | 1,64,000 | 2,49,28,000.00 |
Warrant Conversion Terms
The warrants carry specific conversion terms with an 18-month exercise period from the date of allotment. Each warrant is convertible into one equity share of face value ₹10.00. For the warrants, allottees paid ₹38.00 per warrant at the time of allotment, with the remaining ₹114.00 payable upon conversion to equity shares. The warrants can be converted in one or more tranches during the tenure period.
Regulatory Compliance and Payment Structure
The allotment was conducted in accordance with Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, and the Companies Act, 2013. The company confirmed receipt of all application money and forms from the 50 allottees as specified in the Notice of Extra-Ordinary General Meeting dated November 14, 2025, and its corrigendum dated December 05, 2025. The securities are subject to lock-in restrictions as prescribed under SEBI regulations.
| Payment Structure: | Warrants | Equity Shares |
|---|---|---|
| Amount Paid at Allotment: | ₹38.00 per warrant | ₹152.00 per share |
| Balance Amount: | ₹114.00 (on conversion) | Fully paid |
| Exercise Period: | 18 months | N/A |
Historical Stock Returns for Subam Papers
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +1.13% | -0.46% | -1.72% | +44.55% | +59.63% | +16.70% |
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