Manufacturer of EV Chargers and Critical Power Components Approves Rs 260 Crore Rights Issue and Rs 283.2 Crore Loan-to-Equity Conversion in Subsidiary
Since listing, the stock price has been down by 23.46 per cent, while in the last 3 months the stock has jumped over 38 per cent.
Exicom Tele-Systems Limited announced on June 25, 2025, the outcomes of its Board of Directors meeting, which included significant approvals for fundraising and internal restructuring.
The Board approved raising funds through a Rights Issue, aiming to secure an amount not exceeding Rs 260 Crores. This issuance will involve equity shares with a face value of Rs 10 each, offered to eligible shareholders.
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In another strategic move, the Board approved the conversion of an unsecured loan, including accrued interest, totaling approximately Rs 283.20 Crores, extended to its wholly-owned subsidiary, Exicom Power Solutions B.V., Netherlands ("WOS"), into ordinary equity shares of the WOS. This conversion aims to enhance the WOS's liquidity and operational capabilities by reducing interest-related cash outflows and improving its working capital. Exicom Tele-Systems Limited clarified that this transaction does not involve any new outflow of funds but rather a reclassification of the existing financial exposure from loan to equity.
Exicom Power Solutions B.V. is involved in the wholesale of electronic and communication equipment and related parts, operating in the Electric Vehicles Sector. The conversion will be executed on an arm's length basis and is subject to the Foreign Exchange Management Act and other applicable compliances. The cost of acquisition will be equivalent to the outstanding loan and accrued interest, with shares issued at a par value of EUR 1 per share. Currently, Exicom Tele-Systems Limited holds 100 per cent of the WOS.
Exicom Tele-Systems Limited primarily operates in two key segments: Critical Power and Electric Vehicle (EV) Charging solutions. The Critical Power business designs, manufactures, and services DC power systems, Lithium-ion batteries, and other energy storage solutions for the telecommunications infrastructure. The EV Charging business provides EV charging solutions for homes, workplaces, and public charging networks.
Since listing, the stock price has been down by 23.46 per cent, while in the last 3 months the stock has jumped over 38 per cent.
Disclaimer: The article is for informational purposes only and not investment advice.