String Metaverse Limited approves ₹73.63 crore share issue

String Metaverse Limited shareholders approved a preferential issue of up to 8,32,03,383 equity shares at ₹8.85 each at an Extra-Ordinary General Meeting on October 15, 2026. The proposal authorises the company to raise approximately ₹73.63 crore through a private placement to identified non-promoter investors, subject to applicable regulatory requirements.

What did String Metaverse shareholders approve?

String Metaverse approved a special resolution to issue and allot up to 8,32,03,383 fully paid-up equity shares on a preferential basis for cash consideration. Each equity share has a face value of ₹1 and will be issued at ₹8.85, including a securities premium of ₹7.85 per share.

The proposed issue represents a capital-raising transaction through private placement rather than a public offer. The shares are intended for identified proposed allottees classified as non-promoters. The company had placed the proposal before shareholders as special business at its EGM, which was held through video conferencing and other audio-visual means.

The voting result showed 75,76,32,636 votes in favour and 50 votes against the resolution, out of 75,76,32,686 votes polled. The filing recorded the votes in favour as 100.00% of votes polled after rounding. The promoter group voted entirely in favour of the proposal.

How was the preferential issue approved and priced?

String Metaverse's board approved the preferential issue proposal at its meeting on September 17, 2026, and the company later issued the EGM notice seeking shareholder consent. The relevant date for determining the issue price was September 15, 2026.

The ₹8.85 issue price was based on the higher of the 90-day volume-weighted average price of ₹7.40 and the 10-day volume-weighted average price of ₹8.84 preceding the relevant date, according to the material provided. The stated pricing approach was intended to comply with the applicable SEBI Issue of Capital and Disclosure Requirements regulations.

Remote e-voting was available from October 10 to October 14, 2026. The company reported 12,19,90,977 equity shares as outstanding for the voting process, with 62.1056% of those shares represented in the vote. The EGM followed the remote voting period on October 15.

BSE granted in-principle approval for the proposed preferential issue on October 14, 2026, under Regulation 28(1) of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The exchange's in-principle approval does not amount to final listing approval for the securities.

Who are the proposed investors in the String Metaverse issue?

String Metaverse identified 21 proposed allottees for the preferential placement, all classified as non-promoter investors. The company said the allotment would be made to these identified investors, subject to shareholder approval and other required approvals.

Altius Global Finance Private Limited is the largest disclosed proposed allottee, with 5,42,37,288 shares proposed for allotment. The material also identified Hello Money Advisors LLP and Kamal Jagdish Gupta among significant participants, alongside other corporate and individual investors.

The transaction is structured as an equity issue, so completion would increase the number of equity shares in issue. The supplied information identifies the proposed investors as non-promoters and does not indicate a change in control arising from the transaction.

Equity shares allotted through the preferential issue would be subject to lock-in requirements under the SEBI ICDR Regulations. The company has also stated that allotment is subject to the receipt of applicable approvals and regulatory consents.

Why does the ₹73.63 crore capital raise matter?

String Metaverse's approved issue gives the company authority to raise approximately ₹73.63 crore of fresh equity capital at the specified price. For existing shareholders, the transaction is material because issuing new shares can dilute the percentage ownership of shareholders who do not participate in the placement.

The company has disclosed that the funds are proposed for working capital, pre-operative expenses, overseas activities, strategic purposes and general corporate purposes. The supplied allocation indicates ₹30 crore for working capital, ₹10 crore for pre-operative expenses, ₹10 crore for overseas activities, ₹12 crore for strategic purposes and approximately ₹11.63 crore for general corporate purposes.

The preferential route enables a listed company to raise capital from identified investors after meeting shareholder and regulatory conditions. In this case, the board approval in September, BSE's in-principle approval in October and the EGM vote form the disclosed sequence leading to the proposed allotment.

The share issue also follows String Metaverse's June 2026 announcement regarding an allotment of bonus equity shares. The current proposal is separate from that earlier corporate action because it involves a cash consideration, a defined issue price and a new allotment to non-promoter investors.

Conclusion

String Metaverse has received shareholder approval to issue up to 8.32 crore equity shares at ₹8.85 each, creating the basis for a capital raise of approximately ₹73.63 crore. The resolution was passed with the requisite majority, with 75,76,32,636 votes in favour and 50 votes against.

The next disclosed step is allotment of shares to the identified non-promoter investors after the required regulatory conditions are met. Investors can monitor subsequent exchange filings for the final allotment details, listing approval and updates on the use of proceeds.