Capital Small Finance Bank has taken a significant step towards restructuring its shareholder categories by applying for the reclassification of 14 entities from the Promoter/Promoter Group category to Public shareholders category. The bank submitted applications to both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on September 23, 2025, seeking approval for this change.

Reclassification Details

The reclassification request involves 14 entities, including individuals and companies associated with the bank's promoter group. Here's a breakdown of the key entities and their current shareholdings:

Impact on Shareholding

The combined shareholding of all 14 entities represents approximately 0.74% of the bank's total shares. Notably, several entities in the list currently hold zero shares, including:

• Harish Kumar Gupta
• Kumar Shalya Gupta
• Shubham Gupta
• Monica Mittal
• Empower Tech Private Limited (formerly known as DSB Edutech Private Limited)
• KMG Consultants
• DSB Law Group Private Limited
• Dinesh Gupta & Co., Company Secretaries

Regulatory Compliance

This move is in compliance with Regulation 31A of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015. The bank's Company Secretary and Compliance Officer, Amit Sharma, confirmed the submission of the application in an official disclosure to the stock exchanges.

Implications

If approved, this reclassification would result in a slight reduction of the promoter group's stake in the bank. It may also potentially increase the public float of the company's shares, which could have implications for liquidity and trading volumes.

The reclassification request is now subject to approval from both the BSE and NSE. Shareholders and investors will be keenly watching for the exchanges' decision, as it could impact the bank's shareholding structure and potentially its governance dynamics.

Capital Small Finance Bank's shares are listed on the BSE and NSE under the scrip code 544120 and symbol CAPITALSFB, respectively. As the process unfolds, market participants will be monitoring any potential impact on the bank's stock performance and overall market perception.

Capital Small Finance Bank 's Board of Directors has approved a significant change in its shareholder structure, reclassifying Dinesh Gupta and his associated Promoter Group members from Promoter/Promoter Group status to Public shareholders. This decision, made during a board meeting on September 18, 2025, marks a shift in the bank's ownership structure and governance.

Reclassification Details

The reclassification affects 14 entities, including Dinesh Gupta, his family members, and related companies. Collectively, these entities hold 3,35,543 shares, representing 0.74% of the company's total shareholding. Dinesh Gupta individually holds 2,95,920 shares, accounting for 0.65% of the bank's equity.

Key Points of the Reclassification

• Reason for Reclassification: The request was initiated due to Dinesh Gupta's extensive professional and family engagements.
• Shareholder Approval: Since the cumulative shareholding is less than 1%, no shareholder approval is required for this reclassification.
• Regulatory Compliance: The reclassification is being carried out in accordance with Regulation 31A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Confirmations from Outgoing Promoters

The outgoing promoters have provided several key confirmations as part of the reclassification process:

1. They do not hold more than 10% of the total voting rights in the company.
2. They do not exercise control over the company's affairs, directly or indirectly.
3. They have no special rights through formal or informal arrangements, including shareholder agreements.
4. They are not represented on the Board of Directors and do not act as key managerial personnel.
5. They are not willful defaulters as per Reserve Bank of India guidelines.
6. They are not fugitive economic offenders.

Next Steps

Following the board's approval, Capital Small Finance Bank will file an application with the stock exchanges (National Stock Exchange of India Limited and BSE Limited) for their final approval of the reclassification.

Impact on Shareholding Structure

The reclassification affects the following key individuals and entities:

This move represents a significant change in the bank's ownership structure, potentially impacting its governance and shareholder dynamics. The reclassification aligns with regulatory requirements and reflects the evolving relationship between the bank and its former promoter group members.