Raymond Limited has announced a capital infusion plan via the issuance of up to 66.57 lakh convertible warrants to JK Investors (Bombay) Limited, a member of the company’s promoter group. The transaction is valued at Rs. 330.88 crore, with each warrant priced at Rs. 497. This strategic move is intended to strengthen the company’s financial position, subject to shareholder and statutory approvals, with a conversion window spanning 18 months from the date of allotment.
Strategic Capital Infusion
On May 25, 2026, the Board of Directors of Raymond Limited approved a fund-raising initiative through a preferential issue of 66,57,373 convertible warrants. This issuance is targeted exclusively at JK Investors (Bombay) Limited, an entity within the promoter group, as part of the company’s broader financial strategy.
Transaction Details and Pricing
The warrants are priced at Rs. 497 per unit, a valuation that includes a premium of Rs. 487. The aggregate consideration for this issuance is approximately Rs. 330.88 crore. Each warrant grants the holder the right to subscribe to one fully paid-up equity share of the company with a face value of Rs. 10.
Conversion Terms and Impact
The warrants carry an 18-month conversion tenure, allowing the allottee to exercise their rights in one or more tranches. Should the warrants remain unconverted by the end of this period, they will lapse, and any paid-up amounts will be forfeited. Upon full conversion, the promoter group’s shareholding in the company is expected to increase from the current 29.83% to approximately 36.21% on a fully diluted basis.
Source: BSE
