Iraki family retains 96.63% of pre-offer equity control

Iraki family members classified as promoters and the promoter group held 5,26,47,888 equity shares, or 96.63% of pre-offer equity, at the red herring prospectus date. The three designated promoters held 81.28%, while the two largest holders together owned 80.33%, despite 2025 gifts and a five-for-one bonus issue.

How concentrated is Iraki family ownership before the offer?

Iraki family ownership was concentrated in seven promoter and promoter-group holders with 5,26,47,888 of the 5,44,85,888 fully paid equity shares outstanding. The shareholding pattern, based on a beneficiary position statement dated September 18, 2026, assigns the family category 96.63% of both equity shares and voting rights. The public category held 18,38,000 shares, or 3.37%, across 38 shareholders.

The three designated promoters held 4,42,86,400 shares, or 81.28% of pre-offer capital. Inamulhaq Shamsulhaq Iraki held 2,22,89,244 shares, or 40.91%, and Abdulhaq Shamsulhaq Iraki held 2,14,77,756 shares, or 39.42%. Ibrarulhaq Inamulhaq Iraki held 5,19,400 shares, or 0.95%, making the two largest holders' combined stake 4,37,67,000 shares, or 80.33%.

The promoter group held the remaining 83,61,488 shares, or 15.35%, of the Iraki family total. Iraki Afsha Abdulhaq held 47,03,088 shares, or 8.63%, and Mahelaka Bano Inamulhaq Iraki held 34,65,600 shares, or 6.36%. Ziyaulhaq Abdulhaq and Mushirulhaq Inamulhaq Iraki held 1,42,800 and 50,000 shares respectively; the prospectus states that promoter shares were dematerialised and none were pledged.

What 2025 transactions reshaped Iraki family holdings?

The 2025 transactions reshaped individual Iraki family holdings principally through gifts, a rights issue and a five-for-one bonus issue. On March 25, 2025, Inamulhaq Shamsulhaq Iraki received 22,09,374 shares as gifts, comprising 11,24,374 shares from Shamsulhaq Mohammed Jalil Iraki and 10,85,000 shares from Taherakhatun S Iraki. Abdulhaq Shamsulhaq Iraki received 8,22,626 shares as a gift from Shamsulhaq Mohammed Jalil Iraki on the same date.

The company allotted five bonus shares for every one share held on March 28, 2025. The issue added 1,85,74,370 shares to Inamulhaq Shamsulhaq Iraki and 1,78,98,130 shares to Abdulhaq Shamsulhaq Iraki. It also added 39,19,240 shares to Iraki Afsha Abdulhaq and 28,18,000 shares to Mahelaka Bano Inamulhaq Iraki. The bonus shares had a face value of Rs 10 each and were allotted for no consideration.

A bonus issue raises the number of shares held in proportion to each holder's existing stake rather than transferring shares between holders. The March 28, 2025 allotment therefore increased the recorded share counts of holders while preserving the relative ownership proportions immediately before the allotment. The rights issues on March 21, 2025 were priced at Rs 1,019 per share for the disclosed subscribers, including 2,64,500 shares acquired by Inamulhaq Shamsulhaq Iraki.

How did holdings change across the disclosed periods?

The disclosed ownership data show a large rise in share counts over two years, while concentration among holders of at least 1% declined from 98.72% to 96.62%. Two years before the red herring prospectus date, shareholders holding at least 1% owned 83,48,348 shares. At the prospectus date, five holders above that threshold owned 5,26,43,548 shares, reflecting subsequent issues, transfers and the March 2025 bonus allotment.

The composition of the largest holdings also changed. Two years before the prospectus date, Abdulhaq Shamsulhaq Iraki held 27,57,000 shares, or 32.60%, while Inamulhaq Shamsulhaq Iraki held 12,41,000 shares, or 14.67%. At the prospectus date, their disclosed holdings were 2,14,77,756 and 2,22,89,244 shares, respectively, after rights issues, gifts and bonus shares.

The reduction in the concentration measure did not mean that the Iraki family lost pre-offer control. The family’s promoter and promoter-group holdings totalled 96.63% at the prospectus date, while Patel Faruk, the only non-family holder above 1%, held 7,07,860 shares, or 1.30%. The 3.37% public category remained substantially smaller than the 15.35% promoter-group stake alone.

Did public holdings alter Iraki family control?

No, the disclosed 3.37% public holding did not alter Iraki family pre-offer equity control because promoters and the promoter group held 96.63% of recorded voting rights. The shareholding pattern records 5,26,47,888 voting rights for the promoter and promoter-group category and 18,38,000 voting rights for the public category. No shares were recorded under non-promoter non-public, depository receipt or employee trust categories.

The prospectus separately lists the top 10 shareholders outside the promoter and promoter-group categories with 13,58,250 shares, or 2.48% of pre-offer capital. Patel Faruk accounted for 7,07,860 shares, or 1.30%, while Patel Yash Chandrakan t and Sanganitan b Chandra kant Patel each held 1,71,000 shares, or 0.31%. This comparison shows that non-family holdings were dispersed across multiple shareholders.

Final post-offer shareholding percentages were not available in the supplied disclosure. The relevant prospectus fields are marked for update at the prospectus stage and subject to finalisation of the basis of allotment. Therefore, the 96.63% figure measures ownership before allotment, and its persistence after the offer depends on the final post-offer capital and allocation.

What lock-in rules apply to Iraki family promoter shares?

Iraki family promoters must provide at least 20% of fully diluted post-offer equity as minimum promoters’ contribution, locked in for three years from allotment under Regulations 14 and 16 of the Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Regulations. Promoter holdings above the required minimum are subject to a one-year lock-in from allotment. The regulations define the minimum promoters’ contribution as the required promoter stake retained through the specified three-year period.

The exact number of shares to be locked in for three years was not disclosed because the prospectus table remained marked for update. The promoters had given consent to contribute the number of shares required to constitute 20% of fully diluted post-offer capital. The company stated that the proposed contribution shares were not pledged and would satisfy the stated eligibility requirements.

Pre-offer equity held by shareholders other than promoters will generally be locked in for six months from allotment, except offered shares and exempt categories under the regulations. Locked-in shares may be pledged as collateral in specified cases, including qualifying loans, while transfers to another promoter or promoter-group member may occur if the remaining lock-in continues. These rules restrict transferability after allotment but do not determine the final post-offer ownership percentages.

Conclusion

Iraki family ownership remained overwhelmingly concentrated before the offer, with designated promoters holding 81.28% and the promoter group holding a further 15.35%. The 2025 gifts reallocated substantial blocks among named holders, while the five-for-one bonus issue expanded share counts in proportion to holdings; neither mechanism changed the disclosed 96.63% family share of equity and voting rights.

The next item to watch is the final prospectus update on post-offer holdings and the number of shares forming minimum promoters’ contribution. That information will determine the family’s percentage after allotment and specify the shares subject to three-year and one-year promoter lock-in requirements.