Affordable Robotic & Automation Limited’s board approved accepting an interest-free loan of ₹25 crores from the Promoter/Managing Director, convertible into equity/warrant. They also approved raising INR 50-60 Crores through a preferential round. The funds will be reinvested into their wholly owned subsidiary, ARAPL RaaS Private Limited, as an interest-free loan, also convertible into equity.
Loan from Promoter Accepted
The Board of Directors has approved the acceptance of an interest-free loan amounting to ₹25 crores from the Promoter/Managing Director. A key provision allows for this loan to be converted into equity or warrants in the future. The infusion of funds is expected to be facilitated by the Promoter through the sale of their existing shareholding.
Additional Fundraising Approved
To further bolster its financial position, the Board has also given the green light to raise additional funds to the tune of INR 50-60 Crores. This capital will be raised through a preferential round, offering strategic investors an opportunity to invest in the company’s growth potential.
Reinvestment into Subsidiary
The funds generated through the fundraising initiatives will be strategically reinvested into Affordable Robotic & Automation’s wholly-owned subsidiary, ARAPL RaaS Private Limited. This reinvestment will take the form of an interest-free loan. This loan will be convertible into equity during the preferential issue round, providing further financial flexibility and growth opportunities for the subsidiary.
The board meeting occurred on September 18, 2025, commencing at 05:30 p.m. and concluding at 07:00 p.m.
Source: BSE
