Embassy Developments allots 3.25 crore convertible warrants to a promoter entity, receiving ₹90.7 crore upfront

Embassy Developments Limited, formerly Equinox India Developments Limited, has told the exchanges that on 12 Oct 2026 it issued and allotted 3,25,18,900 unlisted convertible warrants on a preferential basis to Embassy Property Developments Private Limited, a member of its promoter and promoter group. Each warrant can be converted into one equity share of ₹2 face value, at an exercise price of ₹111.51, which includes a premium of ₹109.51.

The company received ₹90,65,45,634.75 (about ₹90.65 crore) as subscription money, which is 25% of the total exercise price. The warrants can be exercised in one or more tranches within six months of the allotment, on payment of the remaining 75% at the time of exercise. The issue follows shareholders’ approval at the annual general meeting on 8 Sep 2026 and in-principle approvals from BSE and NSE on 30 Sep 2026, and the company’s earlier intimation of 10 Aug 2026.

The company says the allotment does not change its issued and paid-up equity share capital until the warrants are exercised, and that the warrants and the shares issued on exercise are subject to the lock-in rules for preferential issues.

Inference

At the full exercise price the warrants come to about ₹362.6 crore, so the company has received a quarter of that now and would receive about ₹272 crore more if all the warrants are exercised. That total is calculated from the filing’s numbers, and the filing itself states only the upfront amount.

If all the warrants are converted, the promoter entity would receive 3.25 crore new shares, which would dilute other holders’ percentages. A warrant holder is not obliged to exercise, and the filing does not say how the proceeds will be used.