WS Industries EGM Approves Fund Revision and ₹195 Crore Preferential Issues

WS Industries (India) Limited successfully concluded its 24th Extraordinary General Meeting (EGM) on December 12, 2025, with shareholders overwhelmingly approving all proposed resolutions related to fund utilization revision and new preferential issues worth ₹195.00 crore.

EGM Voting Results

The EGM was conducted through video conferencing via NSDL platform at 2:30 PM IST, with 51 members representing 4,04,21,457 shares participating in the e-voting process. All three special resolutions were passed with requisite three-fourths majority, receiving 99.99% support from shareholders.

Resolution	Votes in Favor	Votes Against	Support %
Fund Utilization Revision	4,04,19,477	1,980	99.99%
Equity Shares Issue	4,04,20,427	1,030	99.99%
Convertible Warrants Issue	4,04,20,427	1,030	99.99%

Approved Fund Utilization Revision

Shareholders approved the modification of ₹245.00 crore raised through the previous preferential issue, comprising ₹20.00 crore from equity shares and ₹225.00 crore from convertible warrants. The revised allocation optimizes deployment for business expansion and project execution.

Purpose	Amount (₹ Crore)	Percentage	Timeline
Land Acquisition and Development	160.00	65.31%	March 31, 2028
Repayment of Outstanding Security Deposits	53.70	21.92%	March 31, 2028
Working Capital Requirements	16.00	6.53%	March 31, 2028
General Corporate Purposes	15.30	6.24%	March 31, 2028

New Preferential Issues Approved

The company received approval for two new preferential issues totaling ₹195.00 crore, targeted at non-promoter entities including Foreign Portfolio Investors.

Issue Type	Quantity	Price per Unit	Total Amount
Equity Shares	1,45,00,000	₹100	₹145.00 crore
Convertible Warrants	50,00,000	₹100	₹50.00 crore

Shareholding Impact

The preferential issues will result in significant shareholding changes, with the promoter group's stake decreasing from 59.27% to 46.54%, while public shareholding will increase from 40.73% to 53.46%. Key allottees include M7 Global Fund PCC - Cell Dewcap Fund (8.65% post-issue stake) and Vikasa India EIF I Fund (9.11% post-issue stake).

Regulatory Compliance

M/s. Lakshmmi Subranian Associates served as scrutinizers for the e-voting process, ensuring fair and transparent conduct. The company has appointed M/s. India Ratings and Research Pvt. Ltd as monitoring agency to oversee fund utilization, complying with SEBI regulations for issues exceeding ₹100.00 crore. The proceeds will support land acquisition, redemption of preference shares, working capital requirements, and general corporate purposes.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-2.73%	+2.89%	+14.28%	+3.97%	-22.15%	+2,180.76%

WS Industries (India) Limited, a leading player in the infrastructure sector, has announced significant corporate actions and its financial results for the second quarter of fiscal year 2026. The company's board of directors approved a substantial preferential issue and reported its quarterly performance in a meeting held on November 14, 2025.

Preferential Issue Approval

The board has given the green light to a preferential issue aimed at raising Rs 195.00 crore, subject to shareholder approval at the upcoming Extraordinary General Meeting (EGM) scheduled for December 12, 2025. The issue comprises:

1.45 crore equity shares at Rs 100.00 each
50 lakh convertible warrants at Rs 100.00 each

This strategic move is designed to bolster the company's financial position and support its growth initiatives.

Key Investors

The preferential issue will be allotted to non-promoter entities, including Foreign Portfolio Investors (FPIs). The major participants include:

Investor	Category	Securities	Value (Rs in Crores)
M7 GLOBAL FUND PCC – CELL DEWCAP FUND	Non-Promoter (FPI)	95,00,000 Equity Shares	95.00
VIKASA INDIA EIF I FUND	Non-Promoter (FPI)	50,00,000 Equity Shares	50.00
VIKASA INDIA EIF I FUND	Non-Promoter (FPI)	50,00,000 Convertible Warrants	50.00

Financial Performance Highlights

For the quarter ended September 30, 2025, WS Industries reported the following consolidated results:

Particulars	Q2 FY2026	Q2 FY2025	YoY Change
Revenue from Operations	Rs 24.05 crore	Rs 62.07 crore	-61.25%
Total Income	Rs 24.69 crore	Rs 62.90 crore	-60.75%
Profit Before Tax	Rs 0.36 crore	Rs 4.63 crore	-92.22%
Profit After Tax	Rs 0.29 crore	Rs 3.86 crore	-92.49%

The company experienced a significant year-over-year decline in both revenue and profitability for the quarter.

Half-Year Performance

For the half-year ended September 30, 2025, the consolidated results showed:

Total Income: Rs 51.50 crore
Profit Before Tax: Rs 2.14 crore
Profit After Tax: Rs 1.65 crore

Other Key Developments

The company appointed India Ratings and Research Pvt. Ltd. as the monitoring agency for the proposed preferential issue.
WS Industries converted 535,120 warrants into fully paid-up equity shares on July 17, 2025.
The board approved a variation in the utilization of funds raised through a previous preferential issue, subject to shareholder approval.

Conclusion

WS Industries continues to navigate a complex business environment, as evidenced by the decline in quarterly performance. The upcoming EGM and the completion of the preferential issue will be crucial events for investors to watch in the coming months.

Investors and stakeholders should note that the financial results are subject to limited review by the company's statutory auditors, and the preferential issue is pending regulatory and shareholder approvals.