Zelio E-Mobility fundraise: ₹168 crore plan for 2026

Stock in focus after board clears preferential issue

Zelio E-Mobility, a BSE SME-listed electric two- and three-wheeler manufacturer, has approved a major capital raise through a preferential issue of equity shares and convertible warrants. As of September 28, 2026, the stock price was ₹1,078. The price was up ₹21.10, or 2.00%, on the day. Market data also showed a bid and ask of ₹1,078.00 and ₹1,060.00, respectively. The fundraise, if cleared by shareholders and regulators, is positioned as a step to strengthen Zelio’s manufacturing capabilities and expand its distribution footprint across India.

What the board approved and what needs approval next

The company’s board approved a total fundraise of up to ₹167.96 crore via a preferential issue of equity shares and convertible warrants. The issue price for both the equity shares and the warrants has been fixed at ₹853 per share or warrant. The proposal is subject to shareholder approval and regulatory clearances, including approvals from stock exchanges. The sequence outlined is board approval first, followed by shareholder approval at an Extraordinary General Meeting (EGM), and then the remaining regulatory processes. Alongside the capital raise, the board also approved an alteration of the Articles of Association to enable warrant issuance.

Deal structure: equity shares to non-promoters, warrants to promoters

Zelio said it plans to issue up to 9.73 lakh equity shares at ₹853 per share to four non-promoter investors, aiming to raise approximately ₹83 crore. Separately, the board cleared issuance of up to 9.96 lakh convertible warrants, also priced at ₹853 each, to promoters Niraj Arya, Deepak Arya, and Kunal Arya. The warrant issuance is expected to generate up to ₹84.96 crore. Taken together, these components form the board-approved fundraise of up to ₹167.96 crore. The company has described the fundraising as support for growth initiatives, including distribution expansion across India and progress on an upcoming three-wheeler manufacturing plant in Haryana.

EGM on October 20 to seek shareholder consent

The company will place the preferential issue proposal before shareholders at an EGM scheduled for October 20, 2026. The EGM has been convened via video conferencing to seek member approval for the preferential issue, the alteration of the Articles of Association, and related party transactions. M/s Lal Ghai & Associates has been appointed as the scrutinizer for the e-voting process for this EGM. Zelio also stated that the trading window remains closed until 48 hours after the outcome is made public.

Related-party transactions also on the agenda

Zelio indicated that it will seek shareholder approval for related-party transactions as part of the same process. Shareholders will be asked to approve related-party transactions of up to ₹50 crore each with five entities. The entities listed are Torque Innovation EV, AVR Auto Industries, Jai Bharat Engineering Tools, Jai Bharat Auto Components, and Rajdhani Machinery Store. These approvals are being routed through the EGM agenda along with the preferential issue and the proposed Articles of Association changes.

Corporate actions and disclosed price points around key dates

Separate from the fundraising disclosures, corporate-action information also referenced an EGM date entry with disclosed last traded prices (LTP) around that event. This provides additional context for how the stock traded around the scheduled shareholder meeting date. The data points below are as disclosed.

AGM schedule and voting details already announced

Zelio also disclosed details for its 5th Annual General Meeting (AGM) scheduled for September 30, 2026 at 4:00 pm through video conferencing or other audio visual means. Members holding shares as on the cut-off date of September 23, 2026 are eligible to vote. Remote e-voting is set to commence on September 27, 2026 at 9:00 am and end on September 29, 2026 at 5:00 pm. Central Depository Services (India) Limited (CDSL) has been appointed as the e-voting agency. M/s Jagsir Singh & Associates has been appointed as the scrutinizer for the e-voting process for the AGM.

Market impact: what the numbers say so far

On September 28, 2026, Zelio E-Mobility traded at ₹1,078, reflecting a 2.00% move, or ₹21.10, on the day. The preferential issue price of ₹853 is below the September 28 traded price cited in the disclosure. Separately, the stock was reported to have gained 82.54% over the last three months. The fundraising proposal remains conditional, as it requires shareholder approval at the October 20 EGM and subsequent regulatory approvals, including from stock exchanges.

Key facts at a glance

The table below summarises the main disclosures around the fundraising proposal, pricing, participants, and the next confirmed event.

Why this matters for investors tracking SME EV names

Preferential issues can materially change a company’s capital structure, particularly for SME-listed companies where fundraises can be large relative to market capitalisation and trading liquidity. In Zelio’s case, the board-approved package combines equity issuance to non-promoters and warrant issuance to promoters at the same price. The company has also linked the capital-raise proposal to expansion plans and manufacturing development, including a new three-wheeler plant in Haryana, while keeping the proposal subject to shareholder and regulatory approvals.

What to watch next

The next confirmed step is the EGM scheduled for October 20, 2026, where shareholders will vote on the preferential issue, the alteration of the Articles of Association, and related-party transaction approvals. After that, the company has indicated that other regulatory processes, including stock exchange approvals, will follow. Any further updates are expected through formal disclosures tied to the EGM outcome and subsequent approvals.