Exicom Tele-Systems Eyes Capital Boost: Board to Weigh Rights Issue on June 25

Exicom Tele-Systems Ltd will take a giant step as far as fund-raising is concerned as its Board of Directors will meet on June 25, 2025, to consider raising capital by a rights issue. This comes on the heels of heightened trading activity in the company's shares and as a follow-up to recent shareholder activity and financial announcements.

 

Key Highlights

Board Meeting Date: The Board of Directors of Exicom Tele-Systems shall meet on June 25, 2025, for the sole purpose of considering and, if appropriate, approving a rights issue as a fund-raising exercise.

 

Potential Rights Issue: On sanction, the rights issue will allow existing shareholders to subscribe to additional shares, usually at a discount, to bolster the company's equity base and finance future expansion plans.

 

Current Market Activity: The company recently witnessed a huge rise in trading volumes and the stock exchanges sought a response. Exicom responded, attributing the activity as due to ongoing corporate developments, including fundraising considerations.

 

Financial Performance: Exicom Tele-Systems recently released audited financial numbers for the quarter and year ended March 31, 2025. Exicom Tele-Systems has been actively engaging with shareholders, as seen from the recent postal ballot and earnings call transcripts.

 

Shareholder Engagement: The company finalized a postal ballot on May 23, 2025, and filed the scrutinizer's report, which indicated continuous attempts to remain connected with shareholders and engage them in important decisions.

 

Sector Context: Rights issues have been the preferred way of raising capital in the Indian market, and several companies followed this route in June 2025, issuing shareholders tradable rights entitlements.

 

What's Next? Shareholders and onlookers would be keeping fingers crossed for the board meeting on June 25 to make a decision on the rights issue. If approved, details of the issue price, ratio, and record date would be released, having an effect on the capital structure of the company as well as shareholders' value.

 

Source: Reuters/TradingView, Business Standard, India Infoline, Moneycontrol, Zerodha