NewsCorporate ActionsSuditi Industries Board Approves ₹58.87 Crore Fundraising and Strategic InitiativesSuditi Industries Board Approves ₹58.87 Crore Fundraising and Strategic Initiatives
Suditi Industries Limited's board has approved comprehensive strategic initiatives including a ₹58.87 crore fundraising plan through share warrants and equity shares at ₹59.12 per share, expansion of authorized capital from ₹60 crores to ₹70 crores, complete acquisition of SAA Suditi Retail Private Limited, re-appointment of Mr. Raja Gopal Chinraj as Whole Time Director, and amendments to expand business scope into retail operations. An Extraordinary General Meeting is scheduled for January 16, 2026, to seek shareholder approval for these initiatives.
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Suditi Industries Limited's Board of Directors has approved a comprehensive set of strategic initiatives during their meeting held on December 19, 2025, including significant fundraising plans and capital restructuring measures that position the company for enhanced growth and operational control.
Major Fundraising Initiative
The board sanctioned a substantial fundraising plan aggregating ₹58.87 crores through two preferential issues to non-promoter investors. The fundraising comprises two distinct components at identical pricing of ₹59.12 per share, including a premium of ₹49.12 per share.
| Component: | Securities | Quantity | Amount (₹ Crores) |
|---|---|---|---|
| Share Warrants: | Convertible Warrants | 72,67,667 | 42.97 |
| Equity Shares: | Direct Equity Issue | 26,90,733 | 15.91 |
| Total Fundraising: | 58.87 |
The share warrants will be convertible into equity shares within 18 months from the allotment date, with 25% of the warrant price payable upfront and the remaining 75% due upon conversion.
Capital Structure Enhancement
The company plans to expand its authorized share capital significantly to accommodate future growth requirements and the proposed fundraising activities.
| Parameter: | Current Structure | Proposed Structure |
|---|---|---|
| Authorized Capital: | ₹60.00 crores | ₹70.00 crores |
| Number of Shares: | 6.00 crores | 7.00 crores |
| Face Value per Share: | ₹10.00 | ₹10.00 |
The board also approved increasing the investment limit under Section 186 of the Companies Act, 2013, to ₹500 crores for making investments, providing loans, guarantees, or securities.
Strategic Acquisition and Leadership
Suditi Industries will acquire the remaining 50% equity stake in SAA Suditi Retail Private Limited for ₹5,000, making it a wholly-owned subsidiary. The target entity, incorporated on September 19, 2017, operates in textile garments and clothing accessories manufacturing.
| Acquisition Details: | Specifications |
|---|---|
| Target Entity: | SAA Suditi Retail Private Limited |
| Acquisition Cost: | ₹5,000 |
| Current Holding: | 50% |
| Post-Acquisition: | 100% (Wholly-owned subsidiary) |
| Business Focus: | Textile garments and accessories |
| Turnover 2023-24: | ₹50.28 lakhs |
| Turnover 2024-25: | Nil |
The board approved the re-appointment of Mr. Raja Gopal Chinraj as Whole Time Director for three years, effective from June 1, 2026, to May 31, 2029. Mr. Chinraj, aged 75 years, brings 46 years of textile industry experience and has been associated with the company since 1993.
Business Expansion and MOA Amendment
The board approved amendments to the company's Memorandum of Association to expand business scope into retail operations. The new object clause includes retailing, trading, wholesaling, merchandising, importing, exporting, and dealing in apparel, garments, textiles, fashion wear, lifestyle products, footwear, perfumes, cosmetics, beauty products, accessories, and homeware.
This expansion enables the company to establish retail stores, brand outlets, online platforms, marketplaces, and distribution channels while owning, acquiring, licensing, or franchising trademarks, brands, and intellectual property rights.
Regulatory Approvals and Timeline
The board scheduled an Extraordinary General Meeting for January 16, 2026, through video conferencing to seek shareholder approval for all proposed initiatives. The company fixed January 9, 2026, as the cut-off date for determining eligible shareholders for remote e-voting. M/s Mitesh Shah Associates, Practicing Company Secretaries, have been appointed as scrutinizers for the e-voting process.
The board meeting commenced at 5:30 PM and concluded at 8:00 PM on December 19, 2025, with all major strategic decisions receiving unanimous approval subject to regulatory and shareholder consent.
Historical Stock Returns for Suditi Industries
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +8.06% | +5.50% | +9.35% | +22.11% | +17.18% | +458.94% |
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