Rajasthan Tube Manufacturing Company Approves Warrants Issuance and Regularizes Two Independent Directors
Rajasthan Tube Manufacturing Company Ltd announced several significant decisions following the outcome of its Board of Directors meeting held on July 24, 2026. The board approved plans for raising capital through a preferential issue of warrants, while also recommending the regularization of two additional directors into independent director positions.Capital Raising through Warrants Issue
The company approved the issuance of up to six crore twenty-one lakh Convertible Equity Share Warrants (Warrants) to public investors on a Preferential Basis. These Warrants are convertible in one or more tranches into equity shares with a face value of ₹1/- each, at an issue price of ₹15/-, including a premium of ₹14/- per Warrant.The total aggregated amount for this issuance is up to ₹93,15,00,000 (Rupees Ninety Three Crore Fifteen Lakh Only). The Relevant Date for the preferential issue was set as Tuesday, July 21, 2026.
Terms of the Warrants
The Warrants may be exercised by their holders in tranches at any time before they expire, which is 18 months from the date of allotment. On the date of Warrant allotment, an amount equivalent to 25% of the issue price must be paid. The remaining 75% of the issue price is payable upon the allotment of Equity Shares after the exercise of the conversion right.
The details related to the pre- and post-preferential issuance of warrants and their respective holders are detailed below:
| Investor Group | Warrants Issued | Issue Price (per Warrant) | Maximum Aggregate Amount |
|---|---|---|---|
| Public Investors | Up to 6,21,00,000 | ₹15/- | Up to ₹93,15,00,000 |
Appointments and Governance Changes
The Board meeting also recommended the regularization of two additional directors into Independent Directors. The appointments are effective from May 30, 2026, and for a term of five years.Independent Director Appointments:
| Director Name | DIN | Background |
|---|---|---|
| Mr. Mahendra Soni | 11046273 | Holds a Bachelor of Commerce degree from Rajasthan University. |
| Mr. Ranjeet Kumar Pandey | 02632421 | Holds a BCOM and LLB degree from Ranchi College. |
The company also approved the adoption of an amended Memorandum of Association (MOA) and a new set of Articles of Association (AOA), both adhering to the requirements of the Companies Act, 2013. The MOA alteration was necessary to align existing clauses with the current Act, while the AOA replacement ensured conformity with the new legal framework.
Future General Meeting
The Board decided that an Extraordinary General Meeting (EGM) will be held on Thursday, August 20, 2026. This meeting will be conducted via Video Conferencing or Other Audio-Visual Means (OAVM). Prachi Bansal, a Practising Company Secretary, has been approved to serve as the Scrutinizer for the ensuing EGM.Stock Price Movement
Rajasthan Tube Manufacturing Company Ltd settled at ₹11.04 on Friday, posting a 4.42% decline in shares. The stock experienced volatility throughout the session, finding a low of ₹10.98 but briefly touching an intraday high of ₹12.10.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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