CP Capital EGM Seeks Approval for ₹25 Crore Warrants

EGM notice dispatched for November 2 meeting

CP Capital Limited has published a newspaper notice confirming the dispatch of its Extra-Ordinary General Meeting notice to shareholders. The EGM is scheduled for November 2, 2026, at 4:00 pm IST. It will be conducted through Video Conferencing or Other Audio-Visual Means. The meeting has been called to seek shareholder approval for a proposed preferential issue of convertible warrants to the company’s promoter and promoter group entities. The proposal was approved by the board on October 9, 2026, subject to shareholder and regulatory approvals. The notice dispatch was subsequently disclosed through a newspaper publication filed with the stock exchanges.

Two special resolutions are on the agenda

Shareholders will consider two special resolutions at the EGM. The first seeks an amendment to CP Capital’s Articles of Association to provide the company with the power to issue warrants. This amendment is linked to the proposed capital-raising exercise. The second resolution seeks approval for the preferential issue of up to 16,45,000 fully convertible warrants. These warrants are proposed to be issued to promoter and promoter group entities on a private placement basis. Both resolutions require shareholder approval before the proposed issue can proceed.

Details of the proposed warrant issue

The board has approved the proposed issue of up to 16.45 lakh fully convertible warrants at an issue price of ₹152 per warrant. At this price, the proposed issue aggregates up to ₹25,00,40,000, or about ₹25 crore. The stated issue price is ₹1.20 above the floor price of ₹150.80. Each warrant will carry the right to subscribe to one equity share of the company. The warrants are proposed to be allocated among ten promoter group entities. The issue remains subject to approval at the EGM and any applicable regulatory requirements.

Payment and conversion terms

The proposed warrant structure requires 25% of the issue price to be paid at the time of subscription. The remaining 75% will be payable when the warrant holder exercises the option to convert the warrants into equity shares. Warrant holders will have up to 18 months from the date of allotment to exercise the conversion option. If the warrants are not converted during this period, they will lapse. The amount paid on unconverted warrants will be forfeited, according to the disclosed terms. These terms set out the funding commitment and the period in which the proposed equity conversion may occur.

E-voting schedule and shareholder eligibility

CP Capital has set October 26, 2026, as the cut-off date for determining shareholders eligible to vote on the EGM resolutions. Eligible shareholders can use the remote e-voting facility from 9:00 am on October 29, 2026, until 5:00 pm on November 1, 2026. The company has also appointed Advocate Amit Gupta as scrutinizer for the e-voting process and the EGM. The virtual meeting format enables shareholders to participate without attending a physical venue. The notice of the meeting was to be sent to shareholders and made available on the company’s website.

Sequence of announcements

The EGM follows the board meeting held on October 9, 2026. At that meeting, CP Capital approved the proposed amendment to its Articles of Association and the proposed preferential warrant issue. On October 10, the company’s EGM notice was disclosed. The newspaper publication regarding dispatch of the EGM notice was filed on October 12. The meeting on November 2 is the next formal shareholder approval step for the proposal.

What the proposal means for capital structure

The proposed issue is a capital-raising transaction through warrants rather than an immediate equity allotment. Equity shares would be issued only if and when the warrants are exercised within the 18-month period. The upfront subscription requirement is 25% of the warrant price, while the balance is due on conversion. If all 16.45 lakh warrants are exercised, the company would receive the full aggregate amount of about ₹25 crore under the proposed issue. The company has described the issue as a preferential allotment to promoters and promoter group entities, making shareholder approval central to the transaction.

Regulatory context for the EGM

The disclosures were made under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations. CP Capital’s filings identify the proposal as a preferential issue and a capital or financing update. The amendment to the Articles of Association is necessary because the company is seeking the express power to issue warrants. The board approval alone does not complete the transaction because the proposed resolutions are subject to shareholder approval at the EGM. The company has also provided voting arrangements and appointed a scrutinizer as part of the meeting process.

Why the November 2 vote matters

The November 2 EGM will determine whether CP Capital can proceed with the proposed warrant issue on the terms approved by its board. A shareholder vote will also decide the proposed amendment to the Articles of Association. The warrant issue price, volume, conversion window, upfront payment condition and proposed allottees have been disclosed in advance of the meeting. Shareholders eligible as of the October 26 cut-off date can vote remotely before the meeting or participate through the virtual EGM process. The next confirmed event is the EGM, where the two special resolutions will be placed before shareholders.