RDB Infrastructure & Power Limited has reported that its Chairperson, Rajeev Kumar, violated insider trading regulations, resulting in penalties imposed by the company's Audit Committee. The infractions occurred during trading window closure periods in September and December 2024.

Violation Details

The company disclosed that Kumar executed unauthorized trades during periods when trading was restricted. Specifically:

• A sale of 1,000 equity shares on September 12, 2024
• A sale of 8 equity shares and purchase of 349 equity shares on December 4, 2024

These transactions were carried out during the trading window closure period, which is a clear violation of insider trading regulations.

Penalties Imposed

The Audit Committee of RDB Infrastructure & Power Limited has taken the following actions in response to the violations:

1. Disgorgement of profits: Kumar has been directed to disgorge profits amounting to Rs. 215.92 from the unauthorized trades.
2. Additional penalty: A sum of Rs. 25,000 is to be deposited to SEBI's Investor Protection Fund.
3. Total remittance: The combined amount of Rs. 25,215.92 has already been remitted by Kumar.

Company's Response

In addition to the financial penalties, RDB Infrastructure & Power Limited has taken the following steps:

1. Issued a written advisory to Rajeev Kumar, emphasizing strict compliance with SEBI regulations and the company's Code of Conduct.
2. Planned an awareness and compliance training session for all Designated Persons to reinforce understanding of trading restrictions and disclosure obligations.

Implications

This incident highlights the importance of adherence to insider trading regulations, even for high-ranking executives. It also demonstrates the company's commitment to maintaining transparency and regulatory compliance.

Investors and market watchers may view the company's prompt action and disclosure positively, as it reflects a proactive approach to addressing compliance issues. However, the incident may raise questions about internal controls and the need for stricter monitoring of executive trading activities.

RDB Infrastructure & Power Limited (formerly known as RDB Realty & Infrastructure Limited) has announced the conversion of 10 lakh warrants into equity shares, raising Rs 3.04 crore from non-promoter investors. The company has also released its financial results for the quarter ended September 30, 2025.

Warrant Conversion Details

The company has converted 10,00,000 warrants into an equivalent number of equity shares at a price of Rs 40.50 per share. This conversion has resulted in an increase in the company's paid-up capital to Rs 20.39 crore. The details of the allotment are as follows:

The newly allotted shares will rank pari-passu with the existing equity shares of the company.

Q2 FY26 Financial Highlights

For the quarter ended September 30, 2025, RDB Infrastructure & Power Limited reported the following standalone financial results:

Key Financial Observations

• The company's revenue from operations for Q2 FY26 stood at Rs 1,849.84 lakhs.
• Total income for the quarter was Rs 2,262.09 lakhs, which includes other income of Rs 412.25 lakhs.
• Expenses related to construction activity were Rs 1,261.98 lakhs for the quarter.
• The company reported a net profit after tax of Rs 304.55 lakhs for Q2 FY26.

Half-Year Performance

For the half-year ended September 30, 2025, RDB Infrastructure & Power Limited reported:

• Total income of Rs 9,185.78 lakhs
• Net profit after tax of Rs 576.80 lakhs

Management Commentary

The company's board of directors approved these financial results at their meeting held on November 13, 2025. The statutory auditors have reviewed the financial statements, and their report notes that the revenue from operations includes income from the Anjana project recognized during the quarter ended June 30, 2025.

Conclusion

RDB Infrastructure & Power Limited's warrant conversion has strengthened its capital base, while its Q2 FY26 results show a profitable performance. The company's financial statements reflect its current operational status and recent capital activities.