Tunwal E-Motors warrants could raise holding to 65.91%

Tunwal E-Motors Limited allotted 34 lakh convertible warrants to five promoter and promoter-group investors on November 9, 2026, at Rs 30 each. If all warrants are converted, the promoter and promoter-group holding could rise from 63.90% to 65.91%, while the company has received Rs 2.55 crore upfront from the Rs 10.20 crore issue.

What did Tunwal E-Motors allot on November 9, 2026?

Tunwal E-Motors allotted 34 lakh convertible warrants on a preferential basis at Rs 30 per warrant, creating a total potential issue value of Rs 10.20 crore. The board approved the allotment on November 9, 2026, after shareholders passed a special resolution at the eighth annual general meeting on September 29, 2026.

Tunwal E-Motors also received in-principle approval from the National Stock Exchange of India Limited on October 28, 2026, before the allotment. The issue was made through private placement under Chapter V of the Securities and Exchange Board of India, or SEBI, Issue of Capital and Disclosure Requirements Regulations, 2018.

Each warrant gives its holder the right to subscribe to or be allotted one fully paid-up equity share with a face value of Rs 2. The Rs 30 warrant price includes a premium of Rs 28, and the 34 lakh equity shares would arise only if the holders exercise their conversion rights.

The board meeting that approved the allotment began at 3:30 p.m. and ended at 4:00 p.m. on November 9, 2026. Tunwal E-Motors reported no cancellation or termination of the issuance proposal in its disclosure.

How much has Tunwal E-Motors received from the warrant issue?

Tunwal E-Motors has received Rs 2.55 crore as the upfront subscription amount, equal to 25% of the Rs 10.20 crore issue value. The upfront payment was Rs 7.50 per warrant across the 34 lakh warrants, in accordance with Regulation 169 of the SEBI regulations.

The warrant holders must pay the remaining Rs 22.50 per warrant, or 75% of the issue price, to receive equity shares. Tunwal E-Motors said this payment may be made in one or more tranches within 18 months from the November 9, 2026 allotment date.

If a holder does not exercise a warrant within the 18-month period, the unexercised warrant will lapse. Tunwal E-Motors said the amount already paid on such warrants will stand forfeited under the terms of issue and the applicable SEBI regulations.

Who received the Tunwal E-Motors warrants?

Tunwal E-Motors allotted all 34 lakh warrants to five investors classified as the promoter or promoter group. Jhumarmal Pannaram Tunwal, identified as promoter and managing director, received 25.50 lakh warrants, the largest allocation in the preferential issue.

Tunwal Jhumarmal P HUF, identified as part of the promoter group, received 3.40 lakh warrants. Mrs. Sangita Jhumarmal Tunwal, Ms. Spreta Jhumarmal Tunwal and Mr. Bhupesh Tunwal each received 1.70 lakh warrants.

No non-promoter investor received warrants in this allotment. Tunwal E-Motors said both the warrants and any equity shares issued on conversion will be subject to lock-in requirements under Regulation 167 and other applicable provisions of Chapter V of the SEBI regulations.

How would conversion change Tunwal E-Motors promoter ownership?

Full conversion of the 34 lakh warrants would increase the promoter and promoter-group holding in Tunwal E-Motors from 3,68,64,621 equity shares, or 63.90%, to 4,02,64,621 equity shares, or 65.91%. The disclosed increase is 34 lakh shares and 2.01 percentage points of the enhanced capital.

Tunwal E-Motors stated that the post-conversion promoter and promoter-group holding would be measured against fully diluted equity capital of 6,10,92,384 shares. That capital figure and the 65.91% ownership level apply only if every allotted warrant is converted.

The allotment itself does not immediately create the 34 lakh equity shares because the instruments are convertible warrants. A holder must pay the outstanding Rs 22.50 per warrant to exercise the right to receive the corresponding equity share.

The company has therefore disclosed two separate outcomes: an immediate receipt of Rs 2.55 crore at allotment and a possible ownership change within 18 months. If any warrant remains unexercised, it lapses and the stated fully converted shareholding outcome would not be reached.

Conclusion

Tunwal E-Motors has completed a Rs 10.20 crore preferential warrant allotment entirely to promoter and promoter-group investors, with Rs 2.55 crore paid at the outset. The transaction gives five holders rights over 34 lakh potential equity shares and could lift their combined ownership from 63.90% to 65.91% if the warrants are fully exercised.

The next disclosed point to watch is the 18-month conversion window from November 9, 2026. Holders may convert in one or more tranches by paying Rs 22.50 per warrant, while unexercised warrants will lapse and the upfront amount paid on them will be forfeited.