Virinchi Limited Allots 74 Lakh Warrants at ₹28 Each

Virinchi Limited allotted 74 lakh convertible equity warrants at ₹28 each on January 9, 2026, after receiving ₹5.18 crore as the initial 25% subscription amount. The allotment forms part of the company’s approved preferential issue of up to 2 crore warrants, which could raise as much as ₹56 crore if fully subscribed and converted.

What did Virinchi Limited approve under the preferential issue?

Virinchi Limited approved a preferential issue of up to 2 crore convertible equity warrants to identified promoter and non-promoter entities at ₹28 per warrant. Each warrant carries the right to subscribe to one equity share with a face value of ₹10, subject to payment and conversion conditions under the applicable regulations.

The proposed issue could raise up to ₹56 crore at full subscription. The issue price comprises a ₹10 face value and a ₹18 premium, and the company said the ₹28 price was above the floor price determined under Chapter V of the SEBI Issue of Capital and Disclosure Requirements Regulations, 2018.

The proposed allottees named in the approval were Vivo Bio Tech Limited, classified as promoter group, for up to 1.6 crore warrants, and IT Peer Technologies LLC, classified as public, for up to 40 lakh warrants. The proposal was subject to shareholder approval and other applicable regulatory, statutory and exchange approvals.

How many warrants has Virinchi allotted so far?

Virinchi has allotted the full 74 lakh warrants referenced in its January 2026 disclosures through two separate committee decisions. Its Stakeholders Relationship Committee approved an allotment of 40 lakh warrants on January 7, followed by an allotment of 74 lakh warrants reported on January 9.

The January 9 disclosure states that 74 lakh warrants were allotted at ₹28 apiece after the company received the required 25% upfront subscription amount. This initial payment was ₹7 per warrant, aggregating to ₹5.18 crore for the 74 lakh warrants.

What must happen before the warrants become equity shares?

The allotted warrants will convert into an equal number of Virinchi equity shares only after the allottees pay the remaining 75% of the issue price. For each warrant, the balance payable is ₹21, following the initial payment of ₹7 per warrant.

This means allotment of warrants does not immediately result in the issue of equity shares. The company’s disclosures specify that the conversion is conditional on receipt of the remaining amount within the stipulated period. The eventual number of shares issued will therefore depend on conversion of the allotted warrants under the terms of the preferential issue.

The fund-raising plan was initially approved by the board in October 2025. Shareholders subsequently passed a special resolution at an extraordinary general meeting held on November 15, 2025 for the issuance of up to 2 crore convertible equity warrants.

Which approvals supported Virinchi’s warrant allotments?

Virinchi’s warrant allotments followed shareholder consent and in-principle approvals from both stock exchanges. BSE issued its in-principle approval on December 31, 2025, followed by NSE approval on the same date, according to the company’s disclosures.

The approvals were obtained under the framework of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015 and the SEBI ICDR Regulations. The company described the issue as a preferential allotment on a private-placement basis to identified promoter and non-promoter entities.

The sequence matters because the company had first sought authority to issue the full 2 crore warrants, while the January disclosures record allotments in specific tranches. The disclosed 74 lakh-warrant allotment represents 37% of the maximum 2 crore warrants approved by shareholders.

What does the preferential issue mean for Virinchi investors?

The preferential issue provides Virinchi with a route to receive capital in stages rather than all at once. For the 74 lakh warrants allotted on January 9, the company has received ₹5.18 crore upfront, while a further ₹15.54 crore would be payable if all those warrants are converted at the remaining ₹21 per warrant.

For investors, the key point is that conversion would increase the number of outstanding equity shares by one share for every warrant converted. The full approved issue of 2 crore warrants would carry a maximum potential equity issuance of 2 crore shares, although the disclosures do not establish that all approved warrants have been allotted or will be converted.

Virinchi also separately disclosed in January 2026 that its board approved seeking shareholder consent through a postal ballot for promoter Viswanath Kompella’s proposed investment in Virinchi Health Care Private Limited. That proposal involved 52.22 lakh convertible equity warrants in the healthcare subsidiary at ₹15 each, with conversion possible within 36 months, and is distinct from the listed company’s ₹28 preferential warrant issue.

Conclusion

Virinchi’s January warrant allotments advance a fund-raising programme approved in late 2025. The company has disclosed an initial ₹5.18 crore receipt against the 74 lakh warrants allotted at ₹28 each, while the wider shareholder-approved programme has a maximum potential size of ₹56 crore.

Investors will watch for further allotments under the 2 crore-warrant approval and whether the allottees pay the ₹21 per-warrant balance required for conversion. The company has also said that postal-ballot details for the proposed investment in its healthcare subsidiary will be communicated to shareholders in due course.