Kanungo Financiers Approves Dual Acquisitions for 813 Million Rupees

AHMEDABAD, India — Gujarat-based non-banking financial firm Kanungo Financiers Limited announced on Friday, July 24, 2026, that its board of directors approved the dual acquisition of stakes in Peepal Mining and Logistics Private Limited and Startech Infralogistics Private Limited for a combined consideration of 813.24 million Indian rupees ($9.7 million).

The board agreed to acquire a 19.50% equity stake in Peepal Mining and Logistics for 388.34 million rupees and a 19.50% equity stake in Startech Infralogistics for 424.90 million rupees. Both transactions will be executed via share-swap arrangements involving preferential equity share allotments, rendering both firms associate companies of Kanungo Financiers upon regulatory and shareholder approval.

Transaction Structure and Equity Allotment Terms

Under the approved terms, Kanungo Financiers will issue 40.66 million equity shares of face value 10 rupees each at an issue price of 20 rupees per share (including a 10-rupee premium per share) on a preferential basis to discharge the purchase consideration.

To accommodate the transaction, the board approved increasing Kanungo Financiers' authorized share capital nearly tenfold—from 52.4 million rupees (5.24 million equity shares) to 500 million rupees (50 million equity shares).

Diversification Strategy and Executive Leadership Reshuffle

The strategic expansion into commercial transportation, warehousing, and mining infrastructure marks a deliberate shift to diversify revenue streams beyond core financial services.

• Target Company Operations: Startech Infralogistics generated audited revenue of 523.78 million rupees for the fiscal year ended March 31, 2025, operating fleet transport, cargo handling, and freight services. Peepal Mining and Logistics recorded revenue of 711.94 million rupees in FY25 across multimodal logistics, warehousing, and mining concessions.

• Leadership Changes: The company announced the resignation of Managing Director and Chief Financial Officer Chirag Kirtikumar Shah due to time constraints and pre-occupation with other professional commitments.

• New CFO Appointment: The board appointed Atul Ankush Marathe as Executive Director and Chief Financial Officer, effective July 24, 2026, to oversee operational strategy and financial compliance.

Official Sources Section

Regulatory filings and official disclosure notices confirm the transaction details:

• Stock Exchange Disclosure: Filed with
  BSE Limited
  (Scrip Code: 540515) under Regulations 30 and 33 of SEBI Listing Obligations and Disclosure Requirements.

• Regulatory Governance: Oversight governed under the guidelines of the
  Securities and Exchange Board of India (SEBI)
  and Chapter V of SEBI ICDR Regulations.

• Company Filings: Documented and signed by Director Mahendra Kumar Jagdeesh Patel on behalf of
  Kanungo Financiers Limited

Quote Section

"According to regulatory filings submitted to BSE Limited, the board discussed and approved the acquisition of equity stakes in Startech Infralogistics and Peepal Mining and Logistics for diversification of business, opening new streams of revenue for the company which will benefit existing shareholders."

Why It Matters

The acquisition establishes an immediate operational footprint for Kanungo Financiers in India's logistics and infrastructure supply chain sectors. By structuring the deal entirely through a non-cash share swap, Kanungo Financiers preserves liquid capital reserves while leveraging equity value to acquire equity stakes in target companies with combined FY25 revenues exceeding 1.23 billion rupees.

An Extraordinary General Meeting (EGM) of shareholders is scheduled for August 21, 2026, via video conferencing to vote on the capital expansion and share allotment proposals.

Key Facts at a Glance

• Total Transaction Value: 813.24 million rupees ($9.7 million) across two corporate acquisitions.

• Acquisition Stakes: 19.50% equity stake in Peepal Mining and Logistics (388.34M rupees) and 19.50% equity stake in Startech Infralogistics (424.90M rupees).

• Capital Expansion: Authorized share capital increased to 500 million rupees divided into 50 million equity shares.

• EGM Date: Shareholders to vote on preferential allotment proposals on August 21, 2026.

Frequently Asked Questions (FAQ)

What acquisitions did Kanungo Financiers approve?

Kanungo Financiers approved acquiring a 19.50% equity stake in Peepal Mining and Logistics Private Limited for 388.34 million rupees and a 19.50% equity stake in Startech Infralogistics Private Limited for 424.90 million rupees.

How will Kanungo Financiers pay for these acquisitions?

The entire acquisition consideration will be discharged via a share-swap arrangement through the preferential issuance of 40.66 million equity shares priced at 20 rupees per share.

Who is the newly appointed Chief Financial Officer of Kanungo Financiers?

Atul Ankush Marathe was appointed as Executive Director and CFO following the resignation of Chirag Kirtikumar Shah on July 24, 2026.

When will shareholders vote on these corporate changes?

Shareholders will vote on the proposed capital expansion and share allotment during an Extraordinary General Meeting (EGM) on August 21, 2026.

Source: BSE Limited Filings, Kanungo Financiers Corporate Portal, Securities and Exchange Board of India.