Geetanjali Credit fixes ₹88.38 crore 16-for-1 rights issue

Geetanjali Credit and Capital Ltd has fixed a ₹88.38 crore rights issue of 7,07,07,200 partly paid-up equity shares at ₹12.50 each, with a 16-for-1 entitlement ratio and November 18, 2026 as the record date. The terms, approved on November 12, set out the proposed capital raising process and could increase its equity share count to 7,51,26,400 on full subscription and payment of call monies.

What are the terms of Geetanjali Credit's ₹88.38 crore rights issue?

Geetanjali Credit has approved the issue of 7,07,07,200 partly paid-up equity shares with a face value of ₹10 each at an issue price of ₹12.50 per share. The issue can raise up to ₹88.38 crore, assuming full subscription, and was approved by the company's Rights Issue Committee on November 12, 2026.

The shares will be issued to eligible existing shareholders under a rights offer rather than through a public offer. Each eligible holder will receive an entitlement to 16 Rights Equity Shares for every one fully paid-up equity share held on the record date. The company has stated that the proposed fundraising is intended to raise capital.

The ₹88.38 crore issue size is below the maximum ₹90 crore rights issue previously approved by the board on July 16, 2026. The committee meeting on November 12 was scheduled to finalise the price, entitlement ratio and record date, and the company has now disclosed each of these terms.

Who will be eligible for the Geetanjali Credit rights entitlement?

Shareholders holding fully paid-up equity shares of Geetanjali Credit on Wednesday, November 18, 2026 will be eligible for the rights entitlement. The record date is the date used to identify shareholders who can receive the offer of 16 new partly paid-up shares for every one fully paid-up share they hold.

The large entitlement ratio reflects the number of shares proposed in relation to the existing share capital. Geetanjali Credit had 44,19,200 equity shares before the proposed issue. On the stated assumptions, the issue of 7,07,07,200 new shares would take the outstanding share count to 7,51,26,400.

The announcement was made under Regulations 30 and 42 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company said the Letter of Offer will be filed with the Securities and Exchange Board of India and BSE.

When will Geetanjali Credit's rights issue open and close?

Geetanjali Credit has scheduled the rights issue to open on November 27, 2026 and close on December 7, 2026. The record date precedes the opening date by nine days, giving the company a defined base of eligible shareholders for the offer.

The issue is partly paid-up, with ₹6.25 per share payable on application. The remaining ₹6.25 per share is stated to be payable on or about December 25, 2026. The full ₹12.50 issue price therefore consists of two equal instalments.

Partly paid-up structures require applicants to consider both the initial application amount and the subsequent call amount. The final post-issue share count disclosed by Geetanjali Credit assumes full subscription and payment of call monies, rather than only the receipt of initial application payments.

How does the issue change Geetanjali Credit's share capital?

Geetanjali Credit's outstanding equity shares would rise from 44,19,200 to 7,51,26,400 if the entire issue is subscribed and all call monies are paid. This reflects the addition of 7,07,07,200 rights shares, which is directly linked to the 16-for-1 entitlement structure.

For shareholders, the offer gives eligible holders a defined route to maintain their relative holding by applying for the rights shares available to them. The actual resulting ownership positions will depend on participation in the offer and the completion of the payment obligations attached to the partly paid-up shares.

The company has not disclosed in the supplied announcement a detailed allocation of the proposed funds across business uses, debt reduction or other specific purposes. Its stated objective is to raise capital. Investors assessing the transaction will therefore have to consider the issue terms, the payment schedule and any further disclosures included in the Letter of Offer.

Why does the rights issue matter to investors?

The rights issue formalises a substantial expansion in Geetanjali Credit's equity share base, based on the disclosed pre-issue and post-issue counts. The transaction's ₹88.38 crore size, ₹12.50 price and 16-for-1 ratio are the central data points for existing shareholders evaluating their entitlement and cash commitment.

The payment schedule also matters because the full consideration is split into two ₹6.25 instalments. Shareholders who apply in the issue will need to account for the application payment as well as the balance call amount that the company has indicated will be due on or about December 25, 2026.

The committee's decision follows the board's July 16 approval for a rights issue of up to ₹90 crore. The final terms set the operational timetable, while the November 18 record date determines eligibility. No market-price movement, use-of-proceeds break-up or subscription outcome was disclosed in the supplied announcement.

Conclusion

Geetanjali Credit has set the final framework for a ₹88.38 crore rights issue, offering 7,07,07,200 partly paid-up shares at ₹12.50 each to eligible shareholders in a 16-for-1 ratio. If fully subscribed and supported by payment of call monies, the transaction would increase the company's outstanding equity shares from 44,19,200 to 7,51,26,400.

The next disclosed dates are the November 18, 2026 record date, the November 27 opening of the issue and the December 7 closing date. Investors will also watch for the Letter of Offer filings with SEBI and BSE and the balance ₹6.25 per-share call payment scheduled on or about December 25, 2026.