Amic Forging Ltd Board Approves Capital Increase, Preferential Issue, and Convertible Warrant Issuance

Amic Forging Ltd Board Approves Capital Increase, Preferential Issue, and Convertible Warrant Issuance​

Amic Forging Ltd announced that its Board of Directors, in a meeting held on May 11, 2026, approved several material corporate actions, including a significant increase in authorized share capital, a preferential issue of equity shares, and the issuance of convertible warrants.

The Board's decisions are designed to facilitate future fundraising efforts and were subject to necessary approvals, including those from the shareholders.

Capital Structure Enhancements​

In a key corporate action, the Board approved increasing the Authorized Share Capital of the Company. The capital was to be increased from Rs. 12,00,00,000/- (Rupees Twelve Crores Only) to Rs. 15,00,00,000/- (Rupees Fifteen Crores Only). This increase is facilitated by the creation of an additional 30,00,000 Equity Shares, each with a face value of Rs. 10/-.

Preferential Allotment of Equity Shares​

The Company also approved the preferential allotment of equity shares to non-promoter category investors. The company is proposed to issue up to 26,200 fully paid-up equity shares. These shares have a face value of Rs. 10 each and are being offered at an issue price of Rs. 1525/- per equity share. The differential between the issue price and the face value accounts for a securities premium of Rs. 1515/-.

The details of the proposed equity share issuance are presented below:


This preferential issue is structured as a private placement and aims to raise funds from non-promoters.

Issuance of Convertible Warrants​

Furthermore, the Board approved the issuance of up to 14,22,900 warrants. These warrants are convertible or exchangeable for one equity share (face value Rs. 10/-) within a period of eighteen months.

The total potential value of this warrant issue is aggregated up to Rs. 216,99,22,500/-. The warrants are offered at a fixed price of Rs. 1525/- per warrant.

The payment structure for the warrant issue involves a two-stage payment:
1. Upfront Subscription: Warrant holders must pay Rs. 381.25 upfront at the time of subscription and allotment.
2. Balance Payment: The remaining amount of Rs. 1143.75 is payable later, equivalent to 75% of the total warrant issue price, for each warrant proposed to be converted.

The structured details of the warrant issue are as follows:

Meeting and Advisory Updates​

In addition to the capital raises, the Board also approved the convening of an Extraordinary General Meeting (EGM) of the shareholders, scheduled for Friday, June 05, 2026.

Regarding the warrant issuance, the Board noted that Anand Rathi Advisors Limited is acting as the sole adviser to the Company for the proposed fund raising.

Stock Price Movement​

As of 15:27, Amic Forging Ltd. shares are edging higher, currently sitting at ₹1760.00, which is an 8.28% increase for the day. During today's session, the stock moved through a wide trading band, ranging from a low of ₹1661.95 up to a high of ₹1819.95.