Kingfa Science & Technology Powers Up with Rs 500 Crore Institutional Capital Boost Ahead of EGM

Kingfa Science & Technology (India) Limited has unveiled its plan to raise nearly Rs 500 crore through a preferential issue of equity shares to reputed non-promoter investors, including several SBI Mutual Fund schemes and foreign investors. The board approved the proposal to issue up to 14,40,920 fully paid equity shares priced at Rs 3,470 per share (including a premium of Rs 3,460 per share). The move aims to strengthen the company’s capital base and fund strategic growth initiatives, subject to shareholder approval at the upcoming Extraordinary General Meeting (EGM) scheduled for September 17, 2025.

 

Key Highlights of the Preferential Issue:

Corporate Governance and Meeting Updates:

Strategic Significance:

This substantial capital raise through preferential allotment to institutional investors signals Kingfa Science & Technology’s intent to accelerate growth and innovation in its core business domains, which include reinforced polypropylene compounds and personal protective equipment segments. The fresh funds will potentially be used for expansion, debt management, or enhancing production capabilities.

 

Investors and market participants should monitor upcoming disclosures closely for detailed use of proceeds and the final allotment outcome following the EGM.

 

Source: Company Disclosure to the Stock Exchanges