Visa Steel to issue warrants to promoter group for debt repayment

Visa Steel Limited announced an Extraordinary General Meeting (EOGM) for Sunday, November 2, 2025, to seek shareholder approval for issuing up to 50 million convertible warrants to Visa Industries Limited, a member of its promoter group. The warrants, convertible into equity shares, will be issued on a preferential basis at a price of 40 rupees per warrant, aggregating up to 2 bn rupees. This capital infusion is intended to fund the repayment of existing debt to Asset Care and Reconstruction Enterprise Limited, amounting to 1.5 bn rupees, and for general corporate purposes, which will utilize up to 25% of the issue proceeds, or 500m rupees.

The proceeds from this preferential issue are expected to be received within 18 months from the allotment date and will be utilized in phases according to the company's business requirements. The "Relevant Date" for calculating the floor price is fixed as October 3, 2025. This issuance is not expected to alter the company's control or management, but the promoter group's shareholding will increase from 14.33% to 40.17% upon full conversion of warrants.

Shareholders can participate in the EOGM via video conferencing or other audio-visual means. An e-voting facility will be available from Thursday, October 30, 2025, to Saturday, November 1, 2025. The cut-off date for determining eligible voters is Friday, October 24, 2025. Kfin Technologies Limited has been engaged to provide the e-voting services.