Parekh family will retain 58% ownership after IPO dilution

Parekh family promoters are stated to retain 58.00% of post-issue equity share capital, compared with 79.51% before the issue. Jignesh Pravinchandra Parekh and Rupal Jignesh Parekh would hold 51.59% combined after the issue, while their children Parth Jignesh Parekh and Parthvi Jignesh Parekh would hold 6.38%.

What ownership will the Parekh family retain after the IPO?

The Parekh family’s five disclosed promoters would retain 58.00% of post-issue equity share capital. The prospectus lists four individual promoters, Jignesh Pravinchandra Parekh, Rupal Jignesh Parekh, Parth Jignesh Parekh and Parthvi Jignesh Parekh, alongside corporate promoter Jignesh Pravinchandra Parekh HUF, or Hindu undivided family.

The stated promoter holding would decline by 21.51 percentage points, from 79.51% before the issue to 58.00% after it. The prospectus presents the same promoter shareholdings against pre-issue and post-issue equity share capital, so the lower percentage reflects the expanded post-issue share base rather than a promoter share sale described in this table.

The 58.00% figure depends on the post-issue equity share capital and promoter shareholdings stated in the prospectus. Jignesh Pravinchandra Parekh and Rupal Jignesh Parekh are identified as the original promoters, while the prospectus says Parth Jignesh Parekh and Parthvi Jignesh Parekh became promoters over the years.

Which holdings give the Parekh family post-issue control?

Jignesh Pravinchandra Parekh and Rupal Jignesh Parekh would account for 51.59% of post-issue equity share capital, based on disclosed holdings of 26.27% and 25.32%, respectively. That combined percentage exceeds half of the enlarged post-issue share base without including the holdings of their children or the HUF.

Jignesh Pravinchandra Parekh, aged 49 years, is chairman and Managing Director, while Rupal Jignesh Parekh, aged 47 years, is Whole-time Director. Their respective stated holdings would fall by 9.74 percentage points and 9.39 percentage points from their pre-issue levels of 36.01% and 34.71%.

The prospectus separately reports that key managerial personnel and senior management would own 51.60% after the issue. That figure includes the 51.59% combined holding of the two parents as well as 0.004% each for General Manager-Sales Dhawal V Shah and General Manager-Sales Kaushikkumar M Joshi; the difference follows the additional holdings and rounding.

Parth Jignesh Parekh and Parthvi Jignesh Parekh would hold a combined 6.38% after the issue, comprising 2.13% and 4.25%, respectively. Jignesh Pravinchandra Parekh HUF is shown at 0.04% post-issue, taking the stated promoter total to 58.00%.

What roles have Parth and Parthvi Parekh held?

Parth Jignesh Parekh, aged 19 years, is a promoter with a stated 2.13% post-issue holding and a disclosed prior role as a management intern. He is an undergraduate and was associated with the company from August 1, 2023 to September 10, 2024.

Parthvi Jignesh Parekh, aged 23 years, is a promoter with a stated 4.25% post-issue holding and a disclosed prior role as an Admin Executive. She holds a Bachelor of Science degree from the University of Kincinatti and was associated with the company from April 4, 2022 to February 13, 2023.

The promoter profiles do not identify either Parth Jignesh Parekh or Parthvi Jignesh Parekh as a director or key managerial personnel. The prospectus instead identifies Jignesh Pravinchandra Parekh as Managing Director and Rupal Jignesh Parekh as Whole-time Director, while recording the children’s former company associations.

The children’s combined stake would fall from 8.74% before the issue to 6.38% after it. Parthvi Jignesh Parekh’s stated 4.25% post-issue holding is 2.12 percentage points higher than Parth Jignesh Parekh’s 2.13% holding.

Did the promoter group change in the last five years?

The promoter group changed because Parth Jignesh Parekh and Parthvi Jignesh Parekh became promoters over the years, while Late Pravinchandra Parekh ceased to be a promoter following his death. The prospectus says this resulted in a change in shareholding under the Securities and Exchange Board of India, or SEBI, Issue of Capital and Disclosure Requirements, or ICDR, Regulations during the five years preceding the prospectus date.

The promoter group is broader than the five promoters included in the 58.00% post-issue holding table. It includes relatives such as Nehal Manish Shah, Mihir Shashikant Shah and Tejas Shashikant Shah, plus nine entities including RJP Jewels LLP, LUFT Robotics and Controls Private Limited and SJP Ultrasonics Advance Technology.

Tejas Shashikant Shah is identified as a promoter-group member employed as Purchase Head and received remuneration of Rs 7.04 lakh in Fiscal 2026. He is not among the five promoters whose stated ownership totals 79.51% before the issue and 58.00% after the issue.

What other interests and commitments are disclosed for the Parekh family?

The prospectus says the promoters are interested in the company through their shareholdings, dividends and other distributions, and potentially through disclosed transactions with entities in which they hold shares, serve as partners or directors, or exercise control. It also says the promoters and promoter-group members have extended personal guarantees and provided personal properties to secure the company’s bank loans.

Jignesh Pravinchandra Parekh is listed as a director of LUFT Robotics and Controls Private Limited, a designated partner of RJP Jewels LLP, Karta of Jignesh Pravinchandra Parekh HUF and a partner of SJP Ultrasonics Advance Technology. Rupal Jignesh Parekh is listed as a designated partner of RJP Jewels LLP, an HUF coparcener and a partner of SJP Ultrasonics Advance Technology, while Parthvi Jignesh Parekh is an HUF coparcener or member.

The company states that its promoters have no interest in ventures carrying out activities similar to the company’s activities. It also confirms that no promoter, promoter-group member, group company or person in control had been prohibited or debarred from the capital market by SEBI or another authority, and that no material regulatory or disciplinary action had been taken by a stock exchange or regulator in the preceding year.

Conclusion

The disclosed structure would leave the Parekh family with 58.00% of post-issue equity share capital, down from 79.51% before the issue. Jignesh Pravinchandra Parekh and Rupal Jignesh Parekh would hold 51.59% combined, while Parth Jignesh Parekh and Parthvi Jignesh Parekh would retain 6.38% despite their disclosed former roles being a management internship and an administrative executive position.

The item to watch is the final capital-structure disclosure because the prospectus contains differing HUF share counts. The promoter table shows Jignesh Pravinchandra Parekh HUF with 5,00,000 shares, while the HUF profile states 5,000 shares; the stated total promoter holding of 75,05,642 shares aligns with 5,000 shares, and the prospectus directs readers to the capital-structure section for the promoter-shareholding build-up and minimum promoter contribution.