Caprihans is paying back ₹4 cr in preference capital
The nano-cap's board cleared the redemption of up to 40 lakh shares. For a ₹128 crore company, the move equals 3.1% of market value.
— 3 earlier stories on Caprihans India Ltd. →What's new
- Board approved redeeming up to 40 lakh preference shares at ₹10 face value, totaling about ₹4 crore.
- The shares carry a 0.1% non-cumulative dividend and will be redeemed in multiple tranches.
- The ₹4 crore redemption is approximately 3.1% of the company's ₹128 crore market capitalization.
Why this matters
This is a direct capital return for a nano-cap. Clearing ₹4 crore in preference shares trims a small but ongoing dividend obligation and simplifies the capital structure. For a company this size, the materiality is real.
What we're watching
- The timeline for the first tranche, which remains undisclosed.
- The specific preference series being targeted.
- Any impact on the company's earnings per share as the dividend burden lifts.
The full read
Caprihans India, a ₹128 crore market-cap company, will pay back up to ₹4 crore in preference capital. The board has approved the redemption of 40 lakh shares at ₹10 face value. This represents roughly 3.1% of the company's market value. The shares carry a 0.1% non-cumulative dividend, so the move trims a persistent, if small, obligation. The redemption will happen in tranches, but no timeline was set. For a nano-cap, this is a direct balance-sheet simplification. A small step, but for a company this size, it's a start. The full capital structure, with 141.9 crore preference shares still outstanding, remains heavily weighted toward this instrument.
Questions answered
- What exactly did the Caprihans board approve?
- The board cleared the redemption of up to 40 lakh preference shares, each with a face value of ₹10. This totals about ₹4 crore in face value to be paid back to preference shareholders.
- How big is this for Caprihans?
- The ₹4 crore redemption represents approximately 3.1% of the company's ₹128 crore market capitalization. For a nano-cap, this is a meaningful reduction in outstanding preference capital.
- When will the shareholders get paid?
- No specific timeline was given. The filing states the redemption will be executed in multiple tranches, but the schedule for the first tranche is not yet disclosed.
- What is the dividend rate on these shares?
- The preference shares carry a 0.1% non-cumulative dividend. Redeeming them eliminates this small but recurring obligation from the company's books.
Story so far
All notes on CAPRIHANS →- 1 Jun 2026 · 7:10 PM IST Caprihans is paying back ₹4 cr in preference capital
- today Caprihans forfeits promoter's ₹1.57 cr after 3.15 lakh warrants lapse
- 11d ago Caprihans India narrows annual losses to ₹48.17 crore
- 11d ago Caprihans posts Q4 profit, but FY26 loss still bigger than 40% of its market cap