Welcure Drugs & Pharmaceuticals Ltd. has taken a significant step towards bolstering its financial position by approving a substantial fundraising initiative. The company's Board of Directors has given the green light to raise up to Rs. 80.00 crores through a Qualified Institutions Placement (QIP) by issuing equity shares.

Key Details of the Fundraising Plan

• Approval Date: The decision was made during a board meeting held on August 28, 2025.
• Fundraising Method: Qualified Institutions Placement (QIP)
• Maximum Amount: Up to Rs. 80.00 crores
• Issuance: Equity shares to be issued in one or more tranches
• Regulatory Compliance: The fundraising will be conducted in accordance with the Companies Act, 2013, and SEBI regulations

Implementation Steps

1. Shareholder Approval: The company will seek shareholder approval through a postal ballot for the proposed fundraising.
2. Merchant Banker Appointment: The board has approved the appointment of a merchant banker to facilitate the QIP process.
3. QIP Committee Formation: A dedicated QIP Committee has been established to oversee the fundraising process, comprising:
   • Ravi Thakor (Chairman)
   • Yogeshkumar Prajapati (Member)
   • Bhumika Pradhan (Member)

Additional Corporate Actions

The LODR data reveals that Welcure Drugs & Pharmaceuticals is also planning several other significant corporate actions:

1. Annual General Meeting: The company is preparing for its 33rd Annual General Meeting, with the board set to approve various reports and fix key dates.
2. Auditor Appointments:
   • M/s. Vishakha Agarwal & Associates to be appointed as Secretarial Auditor for a five-year term (FY 2025-26 to FY 2029-30).
   • M/s. Sarang Shivajirao Chavan & Associates (Firm Registration Number - 159649W) to be considered for appointment as Statutory Auditor for FY 2025-26, due to a casual vacancy.
3. Investment Limit Increase: The board will consider approving an increase in the investment limit for foreign investors to 49% of the total paid-up capital.

Market Impact

The fundraising initiative through QIP is expected to strengthen Welcure Drugs & Pharmaceuticals' financial position, potentially enabling the company to pursue growth opportunities or strengthen its balance sheet. Investors and market analysts will likely keep a close watch on how the company utilizes these funds and the impact on its future performance.

The board meeting, which started at 4:00 PM on August 28, 2025, concluded at 5:25 PM, marking a pivotal moment in the company's financial strategy. Shareholders and potential investors should look forward to further updates as the company moves forward with its fundraising plans and other corporate actions.

Welcure Drugs & Pharmaceuticals has made a series of significant announcements that are set to impact its share structure and capital base. The company's Board of Directors, in a meeting held on August 22, 2025, approved several key measures aimed at enhancing shareholder value and improving stock liquidity.

Stock Split

The pharmaceutical company has approved a 1:10 stock split, which will subdivide each existing equity share with a face value of ₹10 into ten equity shares with a face value of ₹1 each. This move is designed to make the company's shares more accessible to retail investors and potentially increase liquidity in the market.

Bonus Issue

In addition to the stock split, Welcure Drugs & Pharmaceuticals has also approved a bonus issue in the ratio of 1:10. This means shareholders will receive one bonus equity share for every ten equity shares held. The bonus shares will be issued by capitalizing the company's securities premium account, subject to shareholder approval.

Authorized Share Capital Increase

The Board has further approved an increase in the company's authorized share capital from ₹186.00 crore to ₹196.00 crore. This expansion in capital base provides the company with additional flexibility for future growth and capital raising initiatives.

Impact on Share Structure

The combined effect of these corporate actions will significantly alter Welcure's share structure:

Shareholder Approval and Implementation

These corporate actions are subject to shareholder approval, which the company plans to seek through a postal ballot. The record date for the sub-division of shares and the bonus issue will be announced after obtaining shareholder approval.

Welcure Drugs & Pharmaceuticals expects to complete the implementation of these corporate actions within approximately two months from the date of Board approval.

Market Impact

These strategic moves are expected to enhance the liquidity of Welcure's shares in the market. The stock split, in particular, aims to make the shares more affordable and accessible to a broader range of investors, potentially leading to increased trading activity.

Investors and market participants will be closely watching how these corporate actions unfold and their impact on Welcure Drugs & Pharmaceuticals' market performance in the coming months.