Aeroflex Neu paid-up shares rise 18.61% after conversion

Aeroflex Neu Limited increased its paid-up equity share count by 18.61% to 3.0596 crore on November 5, 2026, after allotting 48 lakh shares on conversion of an equal number of warrants and receiving the final ₹32.40 crore exercise consideration. Paid-up equity capital consequently rose from ₹25.796 crore to ₹30.596 crore.

How many shares did Aeroflex Neu issue through warrant conversion?

Aeroflex Neu issued 48 lakh fully paid-up equity shares against the conversion of 48 lakh convertible warrants. Its board approved the allotment on November 5, 2026, with each share having a face value of ₹10 and a premium of ₹80, producing a warrant exercise price of ₹90 per share.

The allotment was divided among three holders. Aeroflex Enterprises Limited, classified as a promoter, received 36 lakh shares, while Benani Capital Scheme-1 and VPK Global Venture Fund - VPK Global Venture Fund - Scheme-1, both classified as non-promoters, received 6 lakh shares each. The promoter allottee therefore received 75% of the 48 lakh shares, and each non-promoter allottee received 12.5%.

The 48 lakh-share allotment followed the exercise of conversion rights attached to warrants issued on a preferential basis. Aeroflex Neu stated that the allotment complied with Chapter V of the Securities and Exchange Board of India (SEBI) Issue of Capital and Disclosure Requirements Regulations, 2018, or ICDR Regulations.

How much cash did Aeroflex Neu receive from the conversion?

Aeroflex Neu received ₹32.40 crore as the remaining consideration on the 48 lakh warrants. The balance payment was ₹67.50 per warrant, representing 75% of the ₹90 exercise price, with the company reporting that the conversion allotment was made for cash after receiving that outstanding amount.

The three payments were received on November 4, 2026, one day before the board approved the share allotment. Aeroflex Enterprises Limited paid ₹24.30 crore for 36 lakh warrants, while Benani Capital Scheme-1 and VPK Global Venture Fund - VPK Global Venture Fund - Scheme-1 each paid ₹4.05 crore for 6 lakh warrants.

H R Jain & Co examined bank statements, remitter names and warrant-conversion records in its certificate dated November 4, 2026. The auditor said nothing had come to its attention indicating that Aeroflex Neu had not received the ₹32.40 crore balance consideration or that the statement of receipts differed from the books and supporting records made available to it.

How much did Aeroflex Neu's equity base expand?

Aeroflex Neu's paid-up equity shares increased from 257.96 lakh before the conversion to 305.96 lakh after the allotment. The addition of 48 lakh shares equals 18.61% of the pre-allotment share count, calculated against the 257.96 lakh existing shares disclosed by the company.

On the post-allotment base of 305.96 lakh shares, the 48 lakh new shares account for 15.69% of paid-up equity shares. This is a different measure from the 18.61% increase: the first compares new shares with the expanded post-allotment base, while the second measures the rise from the original 257.96 lakh-share base.

Paid-up equity capital rose by ₹4.80 crore, from ₹25.796 crore to ₹30.596 crore, because every new share has a ₹10 face value. The ₹80 premium per share forms part of the ₹90 conversion price, but it is not included in the paid-up share-capital amounts shown in Aeroflex Neu's capital table.

The filing establishes the 48 lakh-share increase but does not disclose the holders' pre-conversion shareholdings or their total post-allotment ownership. It therefore does not allow a calculation of Aeroflex Enterprises Limited's final promoter holding, or the final ownership percentages of the two non-promoter allottees.

What are the rights and trading status of the new shares?

Aeroflex Neu said the 48 lakh allotted shares will rank pari-passu with its existing equity shares in all respects. The shares consequently have the same standing as existing equity shares under the terms stated in the November 5, 2026 announcement.

The new shares will also be locked in for the period specified under Chapter V of the SEBI ICDR Regulations. Aeroflex Neu did not disclose the applicable lock-in duration in its November 5 filing, although it referred to earlier disclosures dated May 7, 2025 and July 25, 2025 for required regulatory information.

The shares were allotted but had not been reported as approved for exchange trading in the announcement. Aeroflex Neu said it would make an application for listing and trading approval to BSE Limited and the National Stock Exchange of India Limited in due course, without giving an application or approval date.

The board meeting that approved the allotment began at 12:30 PM and concluded at 1:15 PM on November 5, 2026. The company also said it had obtained a certificate from its statutory auditors that the allotment complied with Regulation 169(5) of the SEBI ICDR Regulations.

Conclusion

Aeroflex Neu has completed the conversion of 48 lakh warrants into equity shares after receiving ₹32.40 crore in remaining exercise payments. The transaction added ₹4.80 crore to paid-up capital and expanded paid-up equity shares from 257.96 lakh to 305.96 lakh, making the share-count effect material alongside the reported cash receipt.

The next disclosed step is Aeroflex Neu's application for listing and trading approval from BSE and the National Stock Exchange for the 48 lakh allotted shares. The filing also confirms a regulatory lock-in under Chapter V of the SEBI ICDR Regulations, but leaves its duration and the exchange-approval timetable undisclosed.