The Board of Directors of Neogen Chemicals Ltd. approved a significant capital raise via a Preferential Issue of 10,00,000 Equity Shares. The issue price is set at ₹1,610 per share, including a premium of ₹1,600, totaling ₹161 Crores. This move requires shareholder approval via an upcoming Extra Ordinary General Meeting (EGM) scheduled for March 29, 2026. The proposed allottee is Cadamba Solutions Private Limited, categorized under the Promoter Group.
Board Sanctions Preferential Equity Issue
The Board of Directors of Neogen Chemicals Ltd. met on Saturday, March 7, 2026, and inter alia approved a proposal for a Preferential Issue of securities. The Board finalized the issuance of 10,00,000 Equity Shares, each with a face value of Rs. 10/-.
Issue Price and Total Value
The shares are being offered at a price of Rs. 1,610 per Equity Share. This price includes a significant premium of Rs. 1,600 per share. The total aggregate amount realized from this issuance is Rs. 1,61,00,00,000 (Rupees One Hundred and Sixty-One Crores only). The issue price is confirmed to be above the calculated floor price, aligning with requisite disclosures.
Details of Proposed Allottee
Only one allottee is proposed for this transaction:
- Name: Cadamba Solutions Private Limited
- Category: Promoter Group
- Maximum Shares Offered: 10,00,000 Equity Shares
Post-allotment, Cadamba Solutions Private Limited is expected to hold 3.65% of the total post-issue share capital, as they held 0% prior to the preferential allotment as of December 31, 2025.
EGM and Record Date Notification
To obtain necessary shareholder approval, the company will convene an Extra Ordinary General Meeting (EGM) on Sunday, March 29, 2026, at 11:30 a.m. via video conferencing (OAVM).
The crucial administrative dates set by the Board are:
- Record Date/Cutoff Date: Friday, March 20, 2026, for determining eligibility for remote e-voting and attendance.
- Register Closure: The Register of Members and Share Transfer Register will remain closed from Saturday, March 21, 2026, to Sunday, March 29, 2026 (both days inclusive).
Lock-in Requirements
The Equity Shares allotted to the Promoter Group entity will be subject to a lock-in period of 18 months from the date of trading approval. Furthermore, the portion of shares exceeding twenty per cent of the total capital allotted shall be locked-in for six months from the date of trading approval.
Source: BSE
