Modern Dairies Limited announced the successful conversion of fully convertible warrants worth ₹43 crore into equity shares. This transaction involved 86,00,000 warrants being converted into equity shares of ₹10 each at a premium of ₹40 each. The conversion has led to a substantial increase in the company’s paid-up equity share capital, bolstering its financial standing and capital base.
Modern Dairies Completes Warrant Conversion
Modern Dairies Limited has successfully completed the conversion of 86,00,000 warrants into equity shares. This strategic move, involving promoters and the promoter group, marks a significant strengthening of the company’s financial structure. The conversion was completed on September 10, 2026, following an allotment approved by the Allotment Committee of Directors.
Financial Impact of Conversion
The warrants, originally issued on March 13, 2025, were converted into equity shares of ₹10 face value each, at a premium of ₹40 per share. The total value of this conversion amounts to ₹43 crore. The transaction has resulted in a substantial expansion of the company’s Paid-up Equity Share Capital, increasing it from ₹23,31,98,610 to ₹31,91,98,610. This capital infusion is expected to enhance the company’s financial position and operational performance.
Shareholding and Reserve Capital
Following the conversion, the Promoters and Promoter Group now collectively hold 1,92,59,879 shares, representing 60.34% of the enhanced Paid-up Equity Capital. Additionally, a premium of ₹40 per share, totaling ₹34,40,00,000, will be transferred to the Reserve & Surplus account of the Company, further reinforcing its financial reserves.
Source: BSE
