Monarch Network Capital Limited has announced a substantial investment of ₹59.00 crores in its wholly-owned subsidiary through a rights issue approved by the Management Committee of the Board of Directors on January 12, 2026. The investment demonstrates the company's commitment to strengthening its asset management capabilities and expanding its presence in the fund management sector.

Investment Structure and Details

The Management Committee approved the investment in Monarch Network Asset Management Private Limited through a comprehensive rights issue structure. The transaction involves the subscription of up to 1,00,00,000 equity shares of ₹10.00 each at an issue price of ₹59.00 per equity share, which includes a premium of ₹49.00 per share.

Subsidiary Company Profile

Monarch Network Asset Management Private Limited operates as a wholly-owned subsidiary with a focused mandate in fund management and advisory services. The subsidiary was incorporated on August 28, 2025, under the Companies Act, 2013, with CIN U66301MH2025PTC455601 and maintains its registered office in Maharashtra.

Business Operations and Regulatory Compliance

The subsidiary's primary business activities encompass raising and acquiring funds, managing and acting as managers, consultants, advisors, administrators, attorneys, agents, or representatives for various investment vehicles. These include mutual funds, offshore funds, insurance funds, unit trusts, venture capital funds, and investment funds.

The company has indicated that both the authorised and subscribed capital will be further increased to meet the requirements of the SEBI (Mutual Funds) Regulations, 1996. As a newly incorporated entity, turnover information is not applicable for the subsidiary.

Related Party Transaction Framework

The investment constitutes a related party transaction as the subsidiary is wholly-owned by Monarch Network Capital Limited. The company has disclosed that promoters, promoter groups, and group companies have no additional interest in this transaction beyond the existing corporate structure. The investment will be made through cash consideration rather than share swap or other forms of payment.

Regulatory Compliance and Disclosure

The announcement was made in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Management Committee meeting concluded at 1:55 PM on January 12, 2026, with comprehensive disclosures provided as per SEBI Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. No governmental or regulatory approvals are required for this acquisition, streamlining the investment process.

Monarch Networth Capital Limited has announced the launch of its first Portfolio Management Services (PMS) scheme, expanding its asset management offerings beyond its existing Alternative Investment Funds (AIFs) that currently manage over ₹1,000.00 crores.

Strategic Expansion into Portfolio Management

The launch of the PMS scheme represents another step in Monarch's transformation journey, complementing its existing verticals in Investment Banking, Institutional Research, and Alternative Investment Funds (AIFs). The company has established a track record in fund management through its three AIFs, which collectively manage over ₹1,000.00 crores of assets while delivering risk-adjusted returns to investors.

Investment Philosophy and Approach

According to Mr. Vaibhav Shah, MD of Monarch Networth Capital Limited, the company's investment philosophy centers on identifying businesses with strong cash flows, high return ratios, efficient capital allocation, and management pedigree. The newly launched PMS scheme will follow a sector-agnostic, stock selection process that leverages the company's research capabilities to identify undervalued companies with growth potential.

Financial Performance and Growth Trajectory

Monarch Networth Capital has demonstrated significant growth over recent years, showcasing its focus on ethics, innovation, and value creation for stakeholders. The company's financial performance reflects this transformation:

Company Background and Services

Founded in 1993 and headquartered in Mumbai, Monarch Networth Capital Limited operates as one of India's financial services firms. The company offers a comprehensive spectrum of investment solutions including Retail Broking, Institutional Research, Investment Banking, Fund Management (AIF & PMS), and Wealth Management. With the launch of its PMS offering, the company continues its evolution into a diversified and research-centric financial institution, further strengthening its footprint in the wealth management and asset management space.