Sudarshan Pharma Industries Ltd is set to capture investor attention on Monday following the allotment of 90 lakh equity shares upon warrant conversion. This move is expected to strengthen the company's capital base and increase promoter shareholding.
The small-cap stock has shown significant growth recently, rising 22% in one month, 40% in three months, and 48% over six months. However, it has only gained 17% over the past year. The stock reached its 52-week high of ₹36.95 in May 2026 and a low of ₹18.50 in January 2026.
The company's Warrants Committee approved the conversion of 9 lakh warrants into 90 lakh fully paid-up equity shares on June 12, 2026. This conversion resulted in an infusion of ₹11.46 crore, with the balance subscription amount received from the warrant holders. The equity shares were issued at ₹16.983 per share, including a premium of ₹15.983 per share.
Promoters Hemal Vasantrai Mehta and Sachin Vasantrai Mehta converted 4.5 lakh warrants each, receiving 45 lakh equity shares apiece. They paid the remaining ₹127.37 per warrant, representing 75% of the warrant issue price, totaling ₹11.46 crore.
Following this allotment, Sudarshan Pharma's issued and paid-up share capital increased to ₹24.96 crore, comprising 24.96 crore equity shares of Re 1 each. The promoter and promoter group shareholding now stands at 58.93%, with non-promoter shareholding at 41.07%.
Background
The original warrant terms allowed holders to exercise conversion rights within 18 months from the date of allotment, with 25% of the issue price paid upfront and the remaining 75% payable upon conversion.
This development is significant as it reflects the company's strategy to solidify its financial position and enhance promoter control. Investors will be keenly watching how this impacts Sudarshan Pharma's market performance and future growth prospects.
