Emkay Global Allots ₹227 Crore Convertible Warrants; Promoters and Investor to Hold 54.6% Post Conversion
Filing Summary
Emkay Global Financial Services Limited allotted convertible warrants worth ₹227 crore on a preferential basis at ₹239.50 per warrant. The warrants were issued to Antique Securities Private Limited and promoters Krishna Kumar Karwa and Prakash Kacholia. Upon conversion, their combined ownership will represent 54.6% of the company’s diluted equity. For retail shareholders, this allotment may result in equity dilution and a lower proportion of public shareholding once the warrants are converted. The issue was carried out in compliance with SEBI ICDR and LODR Regulations, 2015.
Emkay Global Financial Services Limited announced that its Management Committee, constituted by the Board of Directors, has approved the allotment of 95,00,000 convertible warrants on a preferential basis at an issue price of ₹239.50 per warrant, which includes a premium of ₹229.50 per share.
The preferential issue was approved by shareholders at the Extraordinary General Meeting held on October 17, 2025, and received in-principle approvals from both NSE and BSE on October 24, 2025. The issuance complies with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 (ICDR Regulations) and Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The company has received ₹56.88 crore, representing 25 percent of the total subscription amount, from allottees. The remaining 75 percent will be payable at the time of conversion of the warrants into equity shares. Each warrant is convertible into one fully paid-up equity share of face value ₹10 within 18 months from the date of allotment, i.e., October 24, 2025.
The warrants have been allotted to three investors. Antique Securities Private Limited, categorized as a non-promoter entity, has been allotted 75,00,000 warrants. Promoter group members Krishna Kumar Karwa and Prakash Kacholia have been allotted 12,50,000 warrants and 7,50,000 warrants respectively. Post conversion of all warrants, the total fully diluted shareholding of these three allottees together would represent approximately 54.61% of the company’s equity capital.
The convertible warrants have been issued in dematerialized form and are subject to a lock-in period as per SEBI regulations. The conversion may be exercised in one or more tranches within the 18-month period upon payment of the remaining subscription amount. As of now, since only warrants have been allotted, there is no change in the company’s paid-up share capital.
About Convertible Warrants
Convertible warrants are equity-linked instruments that give investors the right to acquire shares of the issuing company at a fixed price within a defined period. For the issuing company, warrants provide partial upfront funding and enable deferred equity dilution, as conversion happens later. For investors, warrants offer an option to buy equity shares at a predetermined price during the conversion period. Retail investors do not directly participate in such issuances; however, conversion of warrants can alter the company’s future shareholding pattern and expand its equity base.
About Emkay Global Financial Services Limited
Emkay Global Financial Services Limited, headquartered in Mumbai, is a financial services firm engaged in equity broking, investment banking, wealth management, and advisory services. The company serves retail, institutional, and corporate clients across capital markets, asset management, and corporate advisory segments.