Supra Pacific Financial Services Limited (SPFSL) has unveiled significant corporate actions aimed at expanding its share capital and raising funds through preferential allotments. The company's board has approved a series of resolutions that will substantially alter its capital structure and ownership composition.

Increase in Authorized Share Capital

SPFSL plans to increase its authorized share capital from ₹50.00 crore to ₹75.00 crore. This will be achieved by creating an additional 2.50 crore equity shares of ₹10 each, bringing the total number of authorized shares to 7.50 crore.

Preferential Allotments

The company has proposed two major preferential allotments:

1. Non-Cash Consideration: SPFSL will issue 1.31 crore equity shares at ₹30.50 per share to The Central Financial Credit and Investment Co-operative (India) Ltd. This allotment, valued at ₹40.02 crore, is in exchange for land and building assets.

2. Cash Consideration: The company will issue 98.91 lakh equity shares at ₹30.50 per share to promoters and public investors, raising ₹30.17 crore in cash.

Impact on Shareholding

Post-allotment, the promoter group's stake in SPFSL is expected to increase from 24.79% to 26.31%. Notably, The Central Financial Credit and Investment Co-operative (India) Ltd will emerge as a significant shareholder with a 23.31% stake.

Pricing and Valuation

The issue price of ₹30.50 per share is based on a valuation report by an independent registered valuer, which determined a minimum price of ₹28.81 per share. This pricing complies with SEBI's ICDR Regulations.

Use of Proceeds

Funds raised through the cash allotment will be used for working capital requirements, loan disbursements, and business expansion.

Shareholder Approval and Timeline

These proposals will be put to a shareholder vote through a postal ballot, with e-voting scheduled from August 21 to September 19. If approved, the company aims to complete the allotments within 15 days of shareholder approval or regulatory clearances, whichever is later.

Conclusion

These corporate actions indicate Supra Pacific Financial Services' strategic focus on capital expansion and asset acquisition. The outcome of the shareholder vote and subsequent implementation of these significant changes will be closely watched by investors and market participants.

Supra Pacific Financial Services Limited , a leading listed NBFC, has reported exceptional financial results for the first quarter of FY 2025-26, showcasing robust growth across key performance indicators. The company's board has also approved a significant equity share allotment to boost its capital base.

Stellar Q1 Performance

For the quarter ended June 30, 2025, Supra Pacific Financial Services reported:

The company's total income surged by 93% year-on-year to ₹1,849.51 lakhs, driven by a substantial increase in interest income and fees. The EBITDA saw a remarkable 107% growth, reaching ₹931.17 lakhs, with the EBITDA margin improving to 52.75%.

The most striking aspect of the results was the 1514% jump in Profit After Tax, which soared from ₹7.60 lakhs in Q1 FY 2024-25 to ₹122.68 lakhs in Q1 FY 2025-26. This exponential growth in profitability was reflected in the Earnings Per Share, which increased by 1200% to ₹0.39.

Strong Asset Growth and Capital Base

Supra Pacific's Assets Under Management (AUM) grew by an impressive 81% year-on-year, reaching ₹29,046 lakhs. The company's Net Owned Funds also saw a significant 40% increase, strengthening its capital position.

Strategic Equity Allotment

In a move to further bolster its financial position, the Board of Directors has approved the issuance of 2,30,12,714 equity shares through preferential allotment at ₹30.50 per share. This allotment, totaling ₹70.19 crore, will be made for consideration other than cash. The allotment includes:

1. 1,31,21,442 shares to The Central Financial Credit and Investment Co-operative (India) Ltd for ₹40.02 crore
2. 98,91,272 shares to 108 individual investors for ₹30.17 crore

Management Commentary

Joby George, Managing Director of Supra Pacific Financial Services, expressed satisfaction with the company's performance: "We are delighted to begin FY 2025–26 on such a strong note. This performance validates our strategic initiatives, strong governance, and the dedication of our team. The substantial growth across income, margins, and profitability reinforces our market positioning and operational capabilities."

Utilization of Funds

During the quarter, the company fully utilized ₹26 crore raised through non-convertible securities, with no material deviations from the stated objectives. This includes funds raised through private placement of Non-Convertible Securities on various dates in April and June 2025.

Future Outlook

The capital infusion through the preferential allotment is expected to serve as a growth catalyst for Supra Pacific Financial Services. The company plans to use these funds to strengthen its capital base, expand branch operations and geographical reach, invest in digital and operational technology, and diversify its product portfolio.

With its strong financial trajectory and strategic capital allocation, Supra Pacific Financial Services appears well-positioned for sustained growth in the coming quarters, aiming to enhance shareholder value while broadening its market presence in the NBFC sector.