MN Ventures Private Limited and its Persons Acting in Concert (PACs) have disclosed a substantial disposal of shares in HFCL Limited, filing the mandatory disclosure under Regulation 29(2) of SEBI's Substantial Acquisition of Shares and Takeovers Regulations on December 29, 2025.

Share Disposal Details

The promoter group disposed of a total of 2.25 crore shares through various transactions between July and November 2025. The disposal involved multiple entities within the promoter group, with MN Ventures Private Limited leading the divestment.

Shareholding Changes

The transactions resulted in a significant change in the promoter group's overall holding in HFCL. Before the disposal, the combined holding of MN Ventures and PACs stood at 31.58% of the total share capital.

Transaction Timeline and Method

The share disposals occurred across multiple dates between July 31, 2025, and November 25, 2025. The transactions were executed through open market sales, transfers on account of mergers, and adjustments due to QIP allotment effects.

Key transaction dates included:

• July 31, 2025
• August 04, 2025
• August 21, 2025
• September 18, 2025
• September 19, 2025
• November 25, 2025

Impact on Share Capital Structure

HFCL's equity share capital witnessed an increase during this period, rising from ₹144.27 crores to ₹153.06 crores. This expansion in share capital, comprising equity shares of Re.1 each, contributed to the dilution effect on existing shareholdings.

The disclosure indicates that the change in holding resulted from a combination of factors, including a 1.70% reduction due to sales and purchases, and a 1.73% change due to QIP allotment, totaling a 3.43% overall change in shareholding structure.

Regulatory Compliance

The disclosure was filed by Anil Kumar Jain, Whole-time Director of MN Ventures Private Limited, ensuring compliance with SEBI regulations. The filing included comprehensive details of all promoter group entities and their respective shareholdings, maintaining transparency in corporate governance practices.

HFCL Limited has successfully completed its Qualified Institutional Placement (QIP), marking a significant capital raising milestone in the telecom equipment sector. The company's Fund Raising Committee approved the allotment of equity shares to 14 eligible qualified institutional buyers at a competitive pricing strategy.

QIP Allotment Details

The QIP involved the issuance and allotment of 8,79,29,651 equity shares of face value ₹1 each to qualified institutional buyers. The issue opened on December 22, 2025, and closed on December 24, 2025, with the Fund Raising Committee meeting held on December 24, 2025, approving the final allotment.

Fundraising Achievement

HFCL successfully raised approximately ₹550 crores through this QIP exercise. The pricing strategy offered a 5% discount to the floor price of ₹65.84, making it attractive for institutional participation while ensuring successful subscription.

Major Allottees

Several institutional investors received significant allocations in the QIP, with six allottees receiving more than 5% of the total equity shares offered:

Regulatory Compliance

The QIP was conducted in accordance with the provisions of the SEBI ICDR Regulations and Section 42 and 62 of the Companies Act, 2013. The company has disclosed all required information under Regulation 30 of SEBI Listing Regulations and will submit the shareholding pattern before and after the issue along with the listing application.

Market Impact

The successful completion of this QIP demonstrates strong institutional confidence in HFCL's business prospects within the telecom equipment and infrastructure services sector. The participation of 14 qualified institutional buyers reflects positive market sentiment and provides the company with substantial capital resources for business expansion and operational requirements.