Amalgamated Electricity proposes ₹650 cr raise, 23x its market cap
The board approved a preferential issue at ₹5 per share to six investors and a pivot from electricity to AI, healthcare, and media. Shareholders vote by August 12.
— 2 earlier stories on Amalgamated Electricity Company Ltd. →What's new
- Board approved ₹650 cr preferential issue of 130 cr shares at ₹5 each to six non-promoter investors.
- Authorised capital raised from ₹2.25 cr to ₹2,000 cr; objects changed from electricity to AI, healthcare, vehicle distribution, media, and investment.
- Resolutions require shareholder approval via postal ballot closing August 12.
Why this matters
A ₹28 cr shell with zero revenue just proposed raising 26 times its market cap. The preferential issue and complete strategic pivot signal a blank-cheque entry into new-age sectors. The allottees, a mix of trusts and LLPs, will own virtually the entire company post-issue.
What we're watching
- Whether shareholders approve the radical object change and capital hike.
- The identity and track record of the six allottees: Almontroz Trust Fund, Uni Growth Fund, and others.
- Any timeline or business plan for the new AI and healthcare ventures.
The full read
Amalgamated Electricity has no revenue and a market cap of ₹28 crore. Its board just approved a ₹650 crore preferential issue. That is 23 times its entire market value. The company will issue 130 crore shares at ₹5 each to six non-promoter investors, then pivot from electricity to artificial intelligence, healthcare, vehicle distribution, media, and investment holding. The authorised capital goes from ₹2.25 crore to ₹2,000 crore. If shareholders approve the postal ballot by August 12, the allottees will own a near-total stake in a shell that becomes a blank-cheque entity. The scale is staggering: a ₹0-revenue firm raising more than most small-cap IPOs. The open question is what these investors see in a company that, until today, did nothing but generate zero revenue.
Questions answered
- How big is the proposed fund raise relative to the company?
- At ₹650 crore, the issue is 23 times Amalgamated Electricity's current market cap of ₹28 crore. The company had zero revenue in its latest quarter.
- Who are the allottees?
- The six proposed investors are Almontroz Trust Fund, Uni Growth Fund, Candorhub Venture LLP, Jazbat Roohani LLP, VPJ Venture LLP, and Sathvik Universal LLP. All are non-promoter entities.
- What will the company do after the fund raise?
- The board approved a complete change of business objects from electricity generation to artificial intelligence, healthcare, vehicle distribution, media and marketing, and investment holding. The company intends to pivot entirely.
- Does the issue require shareholder approval?
- Yes, the preferential allotment, capital increase, and object change are subject to shareholder approval via postal ballot. Voting closes on August 12.
- What was the company's previous fund-raising attempt?
- In June 2026, the board had deferred a revival plan and preferential issue. This filing supersedes that with a much larger, specific proposal.
Amalgamated Electricity Company Ltd.
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All notes on AMALGAM →- 13 Jul 2026 · 1:01 PM IST Amalgamated Electricity proposes ₹650 cr raise, 23x its market cap
- 21d ago Amalgamated Electricity defers revival plan, preferential issue
- 40d ago Amalgamated Electricity wants to raise cash. It has no revenue.