Raymond Limited has announced a capital infusion plan through the issuance of up to 66,57,373 convertible warrants to JK Investors (Bombay) Limited, a member of the promoter group. The transaction, valued at Rs. 330.88 crore, involves a price of Rs. 497 per warrant. This strategic move aims to strengthen the company’s capital structure, with warrants exercisable into equity shares within an 18-month period.
Strategic Capital Infusion
On May 25, 2026, the Board of Directors of Raymond Limited approved a proposal to raise Rs. 330.88 crore through a preferential issue. By issuing 66,57,373 warrants to its promoter group entity, JK Investors (Bombay) Limited, the company is positioning itself for future growth and liquidity management.
Warrant Details and Conversion Terms
Each warrant is priced at Rs. 497, which includes a premium of Rs. 487 over the face value of Rs. 10. The holders of these warrants have the right to subscribe to one equity share per warrant. The conversion option can be exercised in one or more tranches within a strict 18-month window from the date of allotment. Failure to exercise these options within the specified tenure will result in the lapse of the warrants and forfeiture of the paid-up amount.
Impact on Shareholding
This preferential allotment is set to adjust the promoter group’s stake in the company. Upon full conversion of the warrants, the shareholding of JK Investors (Bombay) Limited is projected to increase from its current level of 29.83% (representing 1,98,61,793 shares) to approximately 36.21% (representing 2,65,19,166 shares) on a fully diluted basis. This move reflects the promoter group’s continued confidence in the long-term prospects of Raymond Limited.
Source: BSE
