Sigachi Industries EGM: ₹290.4 Cr Warrants for APIs

Key proposal shareholders will vote on

Sigachi Industries Limited has called an Extra-Ordinary General Meeting (EGM) to seek shareholder approval for a preferential allotment of convertible warrants and an increase in authorised share capital. The proposals are set out in the EGM notice dated August 22, 2026. The warrant issue, if approved, is sized at ₹290.4 crore and is linked to funding plans across API and excipients expansion, working capital, and general corporate purposes.

The EGM notice is primarily procedural and lays out meeting logistics, voting timelines, and the resolutions to be considered. But it also contains the headline numbers investors typically track in a preferential warrant issue: number of instruments, issue price, conversion terms, total proceeds, and intended utilisation.

EGM schedule and e-voting cut-off

As per the notice, the first EGM of FY 2026-27 is scheduled for September 15, 2026 at 11:00 a.m. The meeting will be held through video conferencing.

For shareholder voting, the notice specifies September 8, 2026 as the cut-off date for e-voting. The cut-off date determines eligibility for participation and voting through the electronic process described in the EGM documentation.

Convertible warrants: size, pricing, and conversion right

The company proposes to issue up to 11,00,00,000 (Eleven Crores) convertible warrants with a face value of Re. 1 each. Each warrant is proposed to be issued at ₹26.40 per warrant, which includes a premium of ₹25.40 per share.

The conversion term stated in the notice is direct: each warrant carries the right to subscribe to one equity share at ₹26.40 per share on conversion. In other words, the instrument structure links one warrant to one equity share upon conversion, at the same price as the warrant issue price.

Total issue size and what the company plans to fund

Based on the number of warrants and the issue price, the total issue size is stated as ₹290.4 crore in the EGM notice.

The notice also provides the planned allocation of proceeds across three broad heads, along with tentative utilisation timelines. The largest portion is earmarked for expansion and acquisitions in the company’s API and excipients segment, specifically including Croscarmellose Sodium (CCS).

Proposed use of proceeds and timelines

• ₹190.40 crore is proposed for Acquisition / Expansion of Active Pharmaceutical Ingredients (API) and Excipients including Croscarmellose Sodium (CCS), with a tentative utilisation timeline of 3 years.
• ₹60.00 crore is proposed for working capital, with a 2-year utilisation timeline.
• ₹40.00 crore is proposed for general corporate purposes, also over 2 years.

These heads and timelines reflect what the company has put before shareholders for approval, and the stated intent for proceeds if the preferential issue is cleared.

Authorised share capital increase on the agenda

Alongside the warrant issuance, Sigachi Industries has also indicated a proposal to increase its authorised share capital. The update states that the authorised share capital is to be raised from ₹43 crore to ₹60 crore.

An increase in authorised capital is typically required when a company needs capacity to issue additional shares, including shares that may arise from conversion of instruments such as warrants. In this case, the authorised capital proposal is positioned together with the preferential warrant issue for shareholder consideration.

Administrative correction to board meeting outcome disclosure

Separately, the company issued a correction related to the outcome of the board meeting dated August 22, 2026. The correction addresses a typographical error in Annexure A of the disclosure.

As stated, the annexure mistakenly listed ‘Anil Kondoth’ instead of ‘K Neelima’ as the allottee at Sl. No. 34. The company clarified that this correction is purely administrative and does not affect financials or operations, with all other details remaining unchanged.

What investors typically track in such an EGM notice

For shareholders, the most decision-relevant points in the notice are the issuance size, pricing, and the end-use of funds. The stated warrant price of ₹26.40 and the one-warrant-one-share conversion right define the proposed conversion economics.

The utilisation plan also puts time frames against each objective, including a longer horizon of three years for API and excipients acquisition/expansion, and two years for working capital and general corporate purposes. The EGM and cut-off dates provide a clear timeline for when shareholders must be on the register and when the vote is scheduled.

Summary table of disclosed facts

Conclusion

Sigachi Industries’ September 15, 2026 EGM is set to vote on a ₹290.4 crore preferential allotment of convertible warrants priced at ₹26.40 each, along with a proposal to raise authorised share capital to ₹60 crore. The company has also disclosed a separate administrative correction to its board meeting outcome annexure, stating it does not impact financials or operations. The next defined milestone in the process is the September 8, 2026 e-voting cut-off date, followed by shareholder voting at the EGM.