Sterlite Technologies Limited announced an upcoming Extra Ordinary General Meeting (EGM) scheduled for Wednesday, March 04, 2026, to seek shareholder approval for two key resolutions. The primary business involves altering the Articles of Association and approving the preferential issuance of up to 4,53,00,000 warrants to promoter Twin Star Overseas Limited. The total proposed issue size for the warrants is approximately ₹498.30 crore. E-voting commences on February 27, 2026.
EGM Called for Key Resolutions
Sterlite Technologies Limited has issued a notice for an Extra Ordinary General Meeting (EGM) to be held on Wednesday, March 04, 2026, at 10:30 a.m. (IST) via Video Conferencing (VC)/Other Audio Visual Means (OAVM). The notice details two special business items requiring member approval.
Item 1: Alteration of Articles of Association (AoA)
The first resolution seeks approval to modify the AoA to provide specific enabling provisions concerning the issuance of warrants. Key articles targeted for amendment include:
- Article 4: Amending provisions related to issuing and allotting securities against property, assets, or services rendered.
- Article 5: Expanding the kinds of securities the Company may issue, specifically including Warrants convertible into equity shares and non-convertible securities.
- Article 14: Updating clauses regarding the issuance of further securities.
Item 2: Preferential Issuance of Warrants to Promoter
The second and most significant item seeks approval to issue and allot up to 4,53,00,000 warrants to the promoter, Twin Star Overseas Limited, on a preferential, private placement basis.
The terms of the proposed preferential allotment are detailed as follows:
| Allottee | Category | No. of Warrants | Warrant Subscription Amount (₹ in crore) | Warrant Exercise Amount (₹ in crore) |
|---|---|---|---|---|
| Twin Star Overseas Limited | Promoter | 4,53,00,000 | 124.57 | 373.73 |
Each warrant has a combined Warrant Issue Price of ₹110 (including subscription and exercise price). The total funds to be raised (Total Issue Size) aggregates to ₹498,30,00,000.
Use of Proceeds (Objects)
The Issue Proceeds are intended to be utilized as follows:
| Sl. No. | Particulars | Total estimated amounts (₹ in Crore) | Tentative timeline |
|---|---|---|---|
| 1. | Repayment/ Servicing of financial facilities availed by the Company | 373.73 (75% of amount) | 120 days |
| 2. | General Corporate Purposes | 124.57 (25% of amount) | 90 days |
The allotment must be completed within 15 days of shareholder approval, provided all regulatory clearances are secured.
Shareholding Impact
The proposed allotment, assuming full conversion of warrants, will significantly alter the promoter holding structure:
| Category | Pre-Issue (as on Jan 30, 2026) | Post-Issue* | ||
|---|---|---|---|---|
| No. of equity shares held | % of equity holding | No. of equity shares held | % of equity holding | |
| Promoter group (Total A) | 21,69,25,966 | 44.44 | 26,22,25,966 | 49.16 |
| Non-Promoters/Public Holding (Total B) | 271,178,119 | 55.56 | 271,178,119 | 50.84 |
The Ultimate Beneficial Owner, Mr. Anil Agarwal, will hold 47.75% post-issue. The Company confirms no change in control will result from this transaction.
Voting and Compliance Instructions
The remote e-voting period will run from 10:00 a.m. on Friday, February 27, 2026, until 5:00 p.m. on Tuesday, March 3, 2026. Members are advised to update their details and follow the detailed instructions provided for attending the VC/OAVM meeting and casting votes electronically.
Explanatory Statement Highlights
The proposal is considered in the best interest of the Company, as the proceeds primarily focus on repaying/servicing 75% of the debt availed from financial and institutional creditors within 120 days of receipt.
Source: BSE
