Suraj Industries Completes Rights Issue Allotment, Raises ₹119.70 Crore

Suraj Industries Limited has successfully completed the allotment process for its rights issue, raising approximately ₹119.70 crore. The company issued 2,99,25,394 partly paid-up equity shares at a price of ₹40 per share, including a premium of ₹30 per share.

Rights Issue Details

The rights issue was conducted in the ratio of 21 rights equity shares for every 13 fully paid-up equity shares held by eligible shareholders. The record date for the issue was set as October 13, and the subscription period ran from October 23 to November 7.

Allotment Statistics

The company received a total of 1,203 applications for 3,39,85,113 rights equity shares, representing an oversubscription of 113.56% of the issue size. After technical rejections, the final tally of valid applications stood at 799, applying for 3,36,83,665 shares.

Category	Applications	Shares Applied	Shares Allotted	Allotment %
Eligible Shareholders	746	3,30,41,523	2,93,16,334	97.96
Renouncees	5	6,42,142	6,09,060	2.04
Total Valid	799	3,36,83,665	2,99,25,394	100.00

Allotment Process

The basis of allotment was finalized on November 10, in consultation with BSE Limited, the designated stock exchange for the issue. All valid applications were considered for allotment, with shares distributed as follows:

1,97,01,317 shares allotted against rights entitlements
1,02,24,077 shares allotted against additional applications

Post-Issue Steps

Allotment advice and refund intimations will be dispatched by November 11.
The company has applied for listing approval from BSE, expected by November 11.
Credit of shares to allottees' demat accounts is scheduled for November 11.
Trading of the newly allotted shares is expected to commence on November 12, under the ISIN for partly paid equity shares (IN9170U01027).

Impact on Share Capital

Following the rights issue, Suraj Industries' equity share capital has increased significantly:

Pre-issue: ₹15,84,32,710
Post-issue: ₹48,45,06,380

The new share capital consists of 1,85,25,244 fully paid-up equity shares and 2,99,25,394 partly paid-up equity shares, each with a face value of ₹10.

Promoter Acquisitions

As part of the rights issue allotment, key promoters of the company acquired additional shares:

Sarita Jain received 41,68,000 equity shares, representing an 8.60% stake. Following the acquisition, she now holds 42,91,626 shares, accounting for 8.86% of the company.
Arun Jain received 14,000 equity shares, representing a 0.03% stake. His total holding remains at 14,000 shares, maintaining a 0.03% stake in the company.

The allotment to the promoters was completed on November 11.

Management Commentary

Suraj Prakash Gupta, a key promoter of the company, commented on the successful completion of the rights issue: "We are pleased with the strong response from our shareholders, which demonstrates their confidence in Suraj Industries' growth prospects. The funds raised will strengthen our financial position and support our expansion plans."

Investors should note that the rights equity shares can only be traded on the stock exchange in dematerialized form. The company advises shareholders to ensure their holdings are in demat accounts to facilitate smooth trading.

This rights issue marks a significant milestone for Suraj Industries Limited, providing the company with additional capital to fuel its growth strategies and enhance shareholder value.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+9.29%	+14.31%	+9.89%	+1.28%	-7.33%	+3,765.55%

Suraj Industries Limited has successfully completed its rights issue, marking a significant development in the company's capital structure. The Rights Issue Committee of the Board of Directors approved the allotment of 2,99,25,394 partly paid-up rights equity shares, as disclosed in a regulatory filing on November 10, 2025.

Key Details of the Rights Issue

Particulars	Details
Face Value	Rs. 10 per share
Issue Price	Rs. 40 per share
Premium	Rs. 30 per share
Allotment Ratio	21 rights shares for every 13 fully paid-up equity shares
Record Date	October 13, 2025

The allotment was made in accordance with the Letter of Offer dated October 9, 2025, and the basis of allotment was finalized in consultation with BEETAL Financial & Computer Services Limited, the Registrar to the Issue, and approved by BSE Limited, the designated stock exchange for the issue.

Impact on Share Capital

The rights issue has led to a substantial increase in the company's equity share capital. Here's a breakdown of the changes:

Particulars	Pre-Rights Issue	Post-Rights Issue
Fully Paid-up Equity Shares	1,85,25,244	1,85,25,244
Partly Paid-up Equity Shares	Nil	2,99,25,394
Total Number of Shares	1,85,25,244	4,84,50,638
Total Equity Share Capital (Rs.)	18,52,52,440.00	48,45,06,380.00*

*Assuming all calls are fully paid.

Significance of the Rights Issue

This rights issue represents a strategic move by Suraj Industries to raise capital, potentially for expansion, debt reduction, or other corporate purposes. The significant increase in the number of shares and total equity share capital indicates a substantial infusion of funds into the company.

Next Steps for Investors

Shareholders who have been allotted rights shares should note that these are partly paid-up shares. Future call notices from the company will require additional payments to fully pay up these shares. Investors should stay alert for any announcements regarding call money due dates and amounts.

Conclusion

The successful completion of this rights issue may be seen as a vote of confidence from existing shareholders in Suraj Industries' future prospects. However, the true impact of this capital raise will depend on how effectively the company utilizes these funds to generate value for its shareholders.

Investors and market watchers will likely keep a close eye on Suraj Industries' upcoming financial reports and corporate announcements to gauge the impact of this significant change in its capital structure.