Precision Wires India CCD issue: ₹150 crore plan 2026

Corrigendum filed ahead of the EGM

Precision Wires India Ltd issued a corrigendum to its Extra-Ordinary General Meeting (EGM) notice on August 21, 2026. The corrigendum clarified how the company plans to use proceeds from a proposed preferential issue of Compulsory Convertible Debentures (CCDs). The fundraising proposal itself remains a shareholder approval item scheduled to be taken up at the EGM.

The EGM is scheduled for September 5, 2026. The meeting will be held through Video Conferencing (VC) or Other Audio Visual Means (OAVM), as per the notice details shared. The notice is positioned as a single special business item seeking approval for issuing CCDs on a preferential basis.

The company’s stated rationale links the working capital requirement to copper procurement and related liabilities. It also outlines an expansion allocation for capex and land acquisition. The corrigendum is primarily a clarification of utilisation, rather than a change in the total amount.

What the company plans to raise and the instrument structure

Precision Wires India’s board approved raising ₹150 crore through a preferential issue of 37,50,000 CCDs. The CCDs are described as unsecured, unlisted, unrated, and issued in dematerialised form. The coupon rate is 12% per annum.

Each CCD will compulsorily convert into one fully paid-up equity share. The conversion terms specify an equity share of face value ₹1 with a premium of ₹399, implying a conversion price of ₹400 per share on a 1:1 basis. Conversion can be exercised by the CCD holder anytime after 12 months and before 18 months from the allotment date. If the investor does not exercise the option, conversion will occur automatically on the last day of the 18th month.

Interest is stated to be payable in three instalments after 180 days, 360 days, and for the remaining period up to conversion. The equity shares issued upon conversion will rank pari-passu with existing shares, including dividend and voting rights, and will be subject to SEBI ICDR lock-in requirements.

Proceeds allocation: working capital and expansion

The corrigendum details a two-part utilisation plan totalling ₹150 crore. Working capital is the larger component, with a specific reference to copper procurement and liabilities. Expansion is the second component, covering capex and land acquisition.

The company also stated that pending utilisation, the proceeds will be invested in money market instruments or scheduled commercial bank deposits. This provides a defined holding approach for funds awaiting deployment.

Copper price context behind the working capital plan

Precision Wires India cited the rise in LME Grade A copper prices as a key factor behind the working capital requirement. As per the disclosed context, LME Grade A copper prices in INR rose 59% year-on-year by July 2026.

For a wire and cable manufacturer where copper is a critical input, a sharp rise in input prices can increase the cash required to procure inventory and manage supplier liabilities. The company’s allocation of ₹90 crore towards working capital is explicitly positioned to address this requirement.

This disclosure also helps explain why the company chose a large working capital component rather than only funding long-duration expansion. The clarification is particularly relevant for shareholders evaluating the balance between near-term liquidity support and longer-term growth investments.

Preferential allotment: who gets the CCDs

The proposed preferential issue is to two non-promoter investors. The allotment list in the notice includes Aadi Financial Advisors LLP and Anchorage Capital Scheme III (Category II AIF).

• Aadi Financial Advisors LLP: 17,50,000 CCDs. Ultimate beneficial owners are stated as Lata Bhanshali, Akash Bhanshali, and Payal Bhanshali.
• Anchorage Capital Scheme III (Category II AIF): 20,00,000 CCDs. The sponsor is stated as Rohit Kothari.

The proposed consideration is also described as split between the two subscribers: Anchorage Capital Scheme III for ₹80 crore and Aadi Financial Advisors LLP for ₹70 crore. The structure is presented as a cash issue on a preferential basis and private placement, subject to shareholder and other statutory approvals, including in-principle approval from the National Stock Exchange of India.

Dilution: promoter and AIF holding changes post-conversion

The preferential issue will result in dilution for existing shareholders upon conversion of the CCDs into equity shares. Precision Wires India disclosed that the promoter group’s holding will decrease from 56.62% to 55.48% after conversion.

The notice also highlights the resulting change in AIF holdings. Alternate Investment Funds (AIFs) are stated to see their stake rise from 0.10% to 1.17%, primarily due to the allotment to Anchorage Capital Scheme III.

These figures indicate the expected post-conversion ownership impact, based on the proposed CCD conversion into equity. The company has characterised the impact as minor dilution, but it is still a meaningful disclosure for shareholders assessing control and ownership trends.

Key dates and voting schedule

The EGM and voting dates are laid out with specific cut-offs and windows. This includes a cut-off date for e-voting eligibility and a remote e-voting window using the NSDL platform.

Separately, the provided context also mentions an interaction set to take place at the company’s registered office on August 22, 2026, at 10:30 AM IST.

Expansion detail referenced: Silvassa capacity revision

The disclosed materials include a specific update on the Silvassa expansion project. Precision Wires India stated that the Silvassa expansion project capacity was revised upward to 4,620 MT per annum, up from 3,920 MT initially approved.

The stated cost for this Silvassa expansion project is ₹38 crore. This sits within the broader expansion allocation disclosed in the utilisation table, which includes capex and land acquisition with a tentative utilisation timeline of 24 months.

Market impact: what is known from the disclosed data

The company’s stated need for working capital is directly linked to a measurable input cost trend, with copper prices up 59% YoY by July 2026 (in INR terms). This provides a concrete operating backdrop for the fundraising proposal.

A specific market data point included in the provided information is the current share price of Precision Wires India at ₹429.7. The EGM outcome, including vote percentages, has not been disclosed because the filing is an EGM notice and corrigendum rather than a results announcement.

Why the corrigendum matters for investors

The corrigendum matters because it narrows uncertainty around how funds will be deployed, splitting ₹150 crore clearly between working capital (₹90 crore) and expansion (₹60 crore). It also provides timelines, which can help shareholders track whether utilisation remains aligned with the stated schedule.

It also consolidates key ownership and dilution disclosures. The shift in promoter holding from 56.62% to 55.48% and the AIF stake increase from 0.10% to 1.17% are specific, quantifiable outcomes tied to conversion.

Conclusion

Precision Wires India’s August 21, 2026 corrigendum clarifies the use of proceeds for its proposed ₹150 crore preferential CCD issue, with ₹90 crore allocated to working capital and ₹60 crore to expansion. The company has set September 5, 2026 as the date for shareholder approval at the EGM, alongside an e-voting window running from September 2 to September 4, 2026. The next concrete update is expected after the EGM, when the voting outcome is disclosed.