RDB Infrastructure and Power has allotted 56.25 lakh equity shares after warrant conversion. The move brings ₹17.08 crore capital infusion and strengthens the company’s balance sheet.
Author: Aditya Pareek | EQMint
RDB Infrastructure Announces Share Allotment
Infrastructure company RDB Infrastructure and Power Limited has announced a significant capital market development following the conversion of warrants into equity shares.
According to the company filing dated 25 February 2026, the board approved the allotment of 56,25,000 equity shares through a circular resolution.
This marks a key update in RDB Infrastructure share news.
Key Details of the Warrant Conversion
The company confirmed that:
- 56,25,000 warrants were converted into equity shares
- Investors paid the balance 75% warrant exercise price
- Total funds received: ₹17,08,59,375
- Conversion price: ₹40.5 per warrant
The shares were issued on a preferential basis to non-promoter investors.
This makes the RDB Infrastructure warrant conversion a major capital-raising milestone.
Impact on Paid-Up Share Capital
Following the allotment, the company’s issued and paid-up capital increased to:
₹21,00,09,000 consisting of 21,00,09,000 equity shares 22
The newly allotted shares will rank pari-passu with existing equity shares.
This strengthens the company’s capital structure and financial flexibility.
Who Converted the Warrants?
According to the annexure (page 3), the allotment was made to:
Sarwamangala Capital
- Warrants converted: 56,25,000
- Amount received: ₹17.08 crore 22
This indicates strong investor participation and confidence.
Understanding Preferential Warrant Issues
Preferential warrants allow companies to raise funds in stages:
Initial payment at issuance
Remaining payment during conversion
Equity allotment upon full payment
This structure provides flexible capital raising. The RDB Infrastructure preferential issue follows this approach.
Why This Capital Raise Matters
The RDB Infrastructure capital raise offers several strategic benefits:
Fresh Capital Infusion
₹17.08 crore strengthens liquidity.
Investor Confidence
Warrant conversion shows long-term commitment.
Balance Sheet Strengthening
Improves financial stability.
Growth Funding
Supports expansion and operations.
Reduced Funding Risk
Diversifies funding sources.
Share Split Background
The filing also mentions the company had earlier undertaken a share split:
- Face value reduced from ₹10 to ₹1 per share
- Warrants adjusted accordingly 22
This explains the large number of shares issued.
Investor Perspective
For investors tracking RDB Infrastructure share news, key takeaways include:
- Warrant conversion completed
- ₹17.08 crore capital infusion
- Increased equity capital
- Participation by non-promoter investors
Such developments often strengthen long-term confidence.
Why Companies Use Warrants
Warrants help companies:
- Raise growth capital
- Reduce debt dependence
- Attract strategic investors
- Improve financial flexibility
The RDB Infrastructure warrant conversion aligns with these goals.
Future Growth Outlook
The additional capital may help the company:
- Strengthen working capital
- Fund infrastructure projects
- Improve operational efficiency
- Support long-term expansion
This enhances the RDB Infrastructure capital raise outlook.
Conclusion
The allotment of 56.25 lakh equity shares following warrant conversion marks a major milestone for RDB Infrastructure and Power Limited. The ₹17.08 crore capital infusion strengthens the company’s financial position and reflects investor confidence in its growth prospects.
The RDB Infrastructure share allotment signals a positive step toward future expansion and stability.
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Disclaimer: This article is not an investment advice and is for educational purpose only.
