S J Logistics seeks approval for Rs 92.58 crore preferential issue

S J Logistics is seeking shareholder approval on December 7, 2026, for a preferential issue of up to Rs 92.58 crore, comprising Rs 42.38 crore of equity shares and Rs 50.20 crore of warrants. The proposal allocates Rs 69.44 crore, or 75% of the maximum proceeds, to working-capital requirements.

What is S J Logistics asking shareholders to approve?

S J Logistics is asking shareholders to approve two special resolutions for 13 lakh equity shares and 15.40 lakh warrants, each priced at Rs 326 per security. The equity-share issue could raise up to Rs 42.38 crore, while the warrant issue could raise up to Rs 50.20 crore if the warrants are fully subscribed and converted into shares.

The equity shares have a face value of Rs 10 each and carry a premium of Rs 316 each. Each warrant is convertible into one equity share with a Rs 10 face value, and the combined proposed issue would add 28.40 lakh equity shares if all 15.40 lakh warrants are converted.

The board approved the proposal on November 6, 2026, subject to shareholder consent at the extraordinary general meeting scheduled for December 7, 2026. Subject to approval, S J Logistics says the equity shares and warrants must generally be allotted within 15 days of the resolution, unless regulatory or government permissions delay the process.

Who will receive S J Logistics shares and warrants?

S J Logistics proposes to allot the 13 lakh equity shares to three non-promoter investors, led by Abakkus Venture Opportunities Fund with 10 lakh shares for Rs 32.60 crore. Deepali Daga is proposed to receive 2 lakh shares for Rs 6.52 crore, while Charandeep Singh would receive 1 lakh shares for Rs 3.26 crore.

The 15.40 lakh warrants are proposed for five allottees, including 11.40 lakh warrants for three promoter-group investors. Jeet Rajen Shah would receive 4 lakh warrants worth Rs 13.04 crore, while Prashant Arvindlal Shah and Pavan Prashantbhai Shah would each receive 3.70 lakh warrants worth Rs 12.06 crore.

The remaining 4 lakh warrants would go to non-promoter allottees Siddhant Laxmikant Kabra and Celestial Tradechem Private Limited, with 2 lakh warrants each worth Rs 6.52 crore. The promoter-group commitment of Rs 37.16 crore represents about 74% of the Rs 50.20 crore warrant component, whereas the Rs 42.38 crore equity-share component is allocated entirely to non-promoter investors.

S J Logistics set the Rs 326 price under the Securities and Exchange Board of India Issue of Capital and Disclosure Requirements regulations. The 90-trading-day volume weighted average price, or VWAP, was Rs 325.82 before the November 6, 2026 relevant date, compared with a Rs 315.41 VWAP over 10 trading days, and the company rounded the higher figure to Rs 326.

How will S J Logistics use the proceeds?

S J Logistics proposes to use 75% of maximum proceeds, or Rs 69.44 crore, for working-capital requirements of the company and its subsidiaries, including overseas subsidiaries. The stated purpose is to support business growth and expansion of operations through the proposed Rs 92.58 crore issue.

The remaining 25%, or Rs 23.15 crore, is proposed for general corporate purposes, including business development, administrative expenses, business exigencies and other requirements determined by the board. This allocation assumes full subscription and conversion of warrants, so the full Rs 92.58 crore would not be available unless warrant holders exercise their conversion rights.

S J Logistics says proceeds will be used within three months of their respective receipt dates and held in a separate bank account until use. The company also disclosed that allocations between the stated objects may vary by plus or minus 10%, depending on management estimates, commercial conditions, market factors and other circumstances.

No monitoring agency has been appointed because the Rs 92.58 crore issue is below the Rs 100 crore threshold cited by S J Logistics. If proceeds are not fully used within the stated three-month period, the board may reschedule expenditure and revise funding allocations in later periods, subject to applicable law.

How could S J Logistics ownership change after conversion?

S J Logistics estimates that its equity shares would rise to 186.63 lakh from 158.23 lakh if all 15.40 lakh warrants convert and all 13 lakh new equity shares are issued. The increase of 28.40 lakh shares is a full-conversion illustration rather than an immediate consequence of warrant allotment.

Promoter and promoter-group ownership would fall to 49.47% from 51.14% in that full-conversion scenario, even as their share count rises to 92.32 lakh from 80.92 lakh through the proposed warrants. Public shareholding would increase to 50.53% from 48.86%, while institutional investors would rise to 6.00% from 0.76%.

S J Logistics states that the issue will not result in a change of control or management. Warrant holders may exercise their warrants in one or more tranches within 18 months of allotment, which means the disclosed ownership percentages depend on all 15.40 lakh warrants being converted.

Conclusion

S J Logistics’ proposed Rs 92.58 crore fundraise combines Rs 42.38 crore of immediate equity issuance with up to Rs 50.20 crore from warrants, with Rs 69.44 crore earmarked for working capital. The structure brings in non-promoter equity capital while assigning Rs 37.16 crore of warrants to promoter-group investors, without a stated change in control.

The next disclosed milestone is the December 7, 2026 extraordinary general meeting, where shareholders will vote on both special resolutions. If approved, the stated points to watch are the 15-day allotment timetable, use of proceeds within three months of receipt and warrant exercises during the following 18 months.