Neogen Chemicals Limited has successfully concluded a preferential allotment of 10,00,000 equity shares to its promoter group entity, Cadamba Solutions Private Limited. This strategic capital raise, approved by the Fund Raising Committee on April 18, 2026, has brought in a total of Rs. 161 crore to the company. The shares were issued at a price of Rs. 1,610 per share, reflecting a 17.02% premium over the calculated floor price.
Strategic Capital Infusion
Neogen Chemicals has finalized a preferential issue of 10,00,000 equity shares to Cadamba Solutions Private Limited. This move, which was finalized on April 18, 2026, follows the necessary shareholder approvals secured at the Extraordinary General Meeting held on March 29, 2026. The issuance price of Rs. 1,610 per equity share—which includes a premium of Rs. 1,600—represents a strong valuation for the company at 17.02% above the required floor price of Rs. 1,375.82.
Impact on Share Capital
As a result of this allotment, the company’s total issued, subscribed, and paid-up equity share capital has increased from Rs. 26,38,16,740 to Rs. 27,38,16,740. The newly issued shares are set to rank pari passu with all existing shares, ensuring equal rights regarding dividends and voting power for the allottee.
Lock-in and Future Compliance
In accordance with the governing framework, the shares allotted to the promoter group are subject to a lock-in period of 18 months from the date of the trading approval. While a portion representing up to 20% of the total capital of the issuer is strictly locked for this duration, any shares allotted in excess of this 20% threshold will be subject to a six-month lock-in period from the date of the trading approval.
Source: BSE
