Indiabulls declares board meeting date to consider and approve ₹1000 crore preferential issue

Indiabulls Limited, formerly known as Yaari Digital Integrated Services Limited, has called an Extraordinary General Meeting (EGM) on July 2, 2026, to seek shareholder approval for a proposed preferential issue of convertible warrants worth ₹1,000.07 crore.

Indiabulls plans to issue up to 51.55 crore warrants on a private placement basis to promoter group entities as well as non-promoter investors.

“In furtherance to intimation dated June 3, 2026 and in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform that the Notice of the Extraordinary General Meeting of the Shareholders of the Company, which has been scheduled to be held on Thursday, July 2, 2026 at 11:30 A.M. (IST) (“EGM”), has been sent to the Shareholders, holding equity shares of the Company as on June 5, 2026 and whose email IDs are registered with the Company/Depositories, in compliance with applicable MCA and SEBI Circulars,” it said in its regulatory filing.

The multibagger stock declined around 4% to its day's low of ₹23.80 in trade today following broader weakness on Dalal Street. However, it has been in the green in recent times. It has risen 16% in 1 month, 129% in 3 months and 44% in 1 year.

Details of Preferential issue

According to the EGM notice, the warrants will be issued at a price of ₹19.40 each, including a premium of ₹17.40 per warrant. Upon conversion, each warrant will translate into one fully paid-up equity share with a face value of ₹2. The proposed fundraising is subject to shareholder approval and other regulatory clearances.

"RESOLVED THAT the consent of the Members of the Company be and is hereby accorded to the Board of Directors of the Company to create, issue, offer and allot up to 51,55,00,000 unlisted warrants aggregating up to INR 1000.07 crore," the company stated in the EGM notice.

Under the proposed allotment, promoter group entity Phanes Limited will subscribe to 22.52 crore warrants worth ₹436.98 crore, while Hermes Limited will receive 14.02 crore warrants aggregating ₹272.08 crore.

Among non-promoter investors, EBISU Global Opportunities Fund Limited is slated to subscribe to 10 crore warrants valued at ₹194 crore, while Nyaasa Global Fund VCC – Nyaasa India EM Sub Fund will receive 5 crore warrants worth ₹97 crore.

The company said the proceeds will be deployed across multiple growth initiatives. Of the proposed fundraise, ₹400 crore has been earmarked for funding growth plans of subsidiaries, while another ₹400 crore will be used towards the company's working capital requirements. In addition, ₹150 crore has been allocated for the working capital needs of subsidiaries and ₹50.07 crore for general corporate purposes. The company expects to utilise the proceeds within 18 months from receipt of funds.

As per the terms of the issue, investors will be required to pay 25% of the warrant issue price at the time of allotment, while the remaining 75% will be payable upon conversion.

The warrants can be converted into equity shares in one or more tranches within 18 months from the date of allotment. If fully subscribed and converted, the issue could significantly strengthen Indiabulls' capital base and support its expansion and working capital plans.

Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.