WS Industries (formerly W.S. Industries (India) Limited) has issued further revised disclosures for its preferential issue of equity shares and convertible warrants, following clarification from the National Stock Exchange (NSE). The company has now incorporated the Discounted Cash Flow (DCF) method in its valuation report, as directed by the exchange.

Revised Valuation Report

The registered valuer has issued an addendum valuation report dated August 26, 2025, which includes the DCF method under the Income Approach. This addition comes after the company submitted duly signed financial projections on August 25, 2025.

Key Findings

• The fair value per equity share has been determined at ₹71.88 using the DCF method.
• The minimum price for the preferential issue remains unchanged at ₹80.32, which is the higher value under SEBI ICDR Regulations.

Valuation Methodology

The revised valuation report employs three approaches to estimate the fair value of the company:

Background

WSI Ltd was taken over by new promoters in June 2022 and is currently undergoing an operational revamp in the infrastructure sector. The company had previously excluded the DCF method due to the unavailability of profitability projections. However, the NSE advised that this was not a valid ground for exclusion.

Implications

Despite the inclusion of the DCF method and the resulting fair value of ₹71.88 per share, the minimum price for the preferential issue remains at ₹80.32. This is in line with SEBI regulations, which require the issue price to be the higher of the values determined under various methods.

Company Statement

V. Balamurugan, Company Secretary of WSI Ltd, confirmed that all other contents of the EGM Notice dated June 27, 2025, and previous disclosures remain unchanged and continue to be in force.

The revised valuation report and disclosures demonstrate WSI Ltd's commitment to regulatory compliance and transparency in its preferential issue process. Investors and market participants will likely view this update as a positive step towards more comprehensive financial reporting and valuation practices.

WS Industries (India) Limited (WSI Ltd) has announced significant changes to its preferential issue of equity shares and convertible warrants, along with other key corporate decisions, following regulatory advice from the National Stock Exchange of India Limited (NSE).

Preferential Issue Revision

The company's board has approved modifications to the previously announced preferential issue, specifically revising Object No. 5 regarding the repayment of outstanding security deposits. The revised disclosure now states:

"The Company proposes to utilize the proceeds towards the repayment of outstanding security deposits of the Company, as reflected in the books of accounts as on 31st March 2025, amounting to Rs.53.70 Crores."

This revision removes the phrase "either in part or in full" from both the object description and explanation, aligning the disclosure with SEBI regulations and NSE's clarification letter dated August 18, 2025.

New Statutory Auditors

In a separate development, WSI Ltd's board has approved the appointment of M/s. P. Chandrasekar LLP, Chartered Accountants (FRN: 000580S/S200066) as the company's new statutory auditors. This appointment fills the casual vacancy caused by the resignation of the existing auditors and will be recommended for approval at the upcoming Annual General Meeting (AGM).

Other Key Decisions

The board meeting, held on August 23, 2025, also resulted in several other important decisions:

1. Approval of remuneration for executive and non-executive directors for the period from July 1, 2025, to September 30, 2026, subject to shareholder approval.

2. Approval for the alteration of the Memorandum of Association (MOA) and adoption of a new set of main objects in line with the Companies Act, 2013, pending shareholder approval.

3. Consideration of related party transactions (RPTs) and recommendation of material RPTs for shareholder approval.

4. Approval of the Board's Report for the financial year 2024-2025 and the notice for the 62nd AGM.

5. Scheduling of the 62nd AGM for September 23, 2025, to be held via video conference or other audio-visual means.

These developments demonstrate WSI Ltd's commitment to regulatory compliance and corporate governance as it navigates through significant changes in its financial structure and management.