Kross allots 15 lakh preferential shares at ₹212 each, plus warrants

Capital raise

Blacklitt Research30 October 20263 min read

A stock market candlestick chart on a dark screen. — Photo by Maxim Hopman on Unsplash (Unsplash License). Illustrative image.

Kross (NSE: KROSS) has approved the allotment of 15 lakh equity shares at ₹212 each, aggregating ₹31.80 crore, to non-promoter investors on a preferential basis, it said in a filing on 30 Oct 2026. The same filing approves 15 lakh fully convertible warrants at the same price, with 25% payable upfront.

Key highlights

Equity shares allotted: 15,00,000 at ₹212 each
Equity share allotment value: ₹31.80 crore
Warrants allotted: 15,00,000, each convertible into one equity share
Upfront payment on warrants: ₹7.95 crore (25%)
Conversion window: 18 months from date of allotment

The allotment in numbers

Item	Detail
Equity shares	15,00,000 at ₹212 a share, including premium of ₹207, for cash
Equity share allottees	Non-Promoters
Equity share allotment value	₹31.80 crore
Paid-up equity capital	₹32.25 crore (6,45,09,422 shares) to ₹33.00 crore (6,60,09,422 shares)
Warrants	15,00,000 at ₹212 each, including premium of ₹207
Warrant value	₹31.80 crore
Upfront on warrants	25%, ₹7.95 crore
Balance on conversion	75%, payable within 18 months of allotment
Warrant allottees	Sumeet Rai (7,50,000) and Kunal Rai (7,50,000), both Promoters

Equity shares go to non-promoter investors

The Board approved the allotment of 15,00,000 equity shares of ₹5 face value at ₹212 a share, including a premium of ₹207 a share, for cash. Four allottees are named: Rathore Gauravraj Singh Vijaysingh with 5,00,000 shares, Dhruv Agarwal with 5,00,000, Saroj V Rathore with 3,00,000 and Richa Gauravraj Singh Rathore with 2,00,000. Each is listed as a non-promoter.

Paid-up equity capital rises from ₹32.25 crore, made up of 6,45,09,422 shares, to ₹33.00 crore, made up of 6,60,09,422 shares.

Warrants convertible into equity shares within 18 months

The Board also approved the allotment of 15,00,000 fully convertible warrants at ₹212 each, including a premium of ₹207, aggregating ₹31.80 crore. Each warrant converts into one equity share of ₹5 face value. Sumeet Rai and Kunal Rai, both listed as promoters, take 7,50,000 warrants each.

Holders pay the balance of 75% on exercise, within 18 months of allotment. If a holder does not convert in that period, the filing says, the entitlement lapses and the upfront payment is forfeited. The warrant allotment does not change the paid-up capital, shareholding pattern or control of the company, the filing says.

A committee to handle future share allotments

The Board constituted a Capital Management Committee to handle allotment of equity shares when the outstanding warrants convert at a later date, in line with applicable laws and regulatory guidelines. Deepa Verma, a non-executive independent director, is the chairperson. Sudhir Rai, chairman and managing director, and Kunal Rai, whole-time director (finance) and CFO, are members.

What the allotments mean for Kross's shareholders

The equity shares add 15,00,000 shares to the paid-up capital now. The warrants add to it only if holders convert, and the filing does not say how many will. No reason for the fund-raise and no use of the money are given, and no effect on the company's results is stated.

The next dated step is conversion, which the filing allows within 18 months of allotment. The date of allotment is not given.

Reference: Original filing (PDF)

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