What’s new

• Board approved a rights issue (terms yet to be finalised).
• Authorised share capital tripled to ₹40 crore from ₹12.5 crore.
• Mr. Hiren Kishor Patel appointed as additional independent director for 5 years.

Why it matters

A company worth ~₹8 crore is tripling its authorised capital to ₹40 crore, pointing to a substantial equity raise that could be massively dilutive. The lack of issue size leaves investors guessing, but the formal decision removes any ambiguity about the board's intent.

What we’re watching

• Issue size, record date, and entitlement ratio from the next board meeting.
• Shareholder nod for the capital increase and regulatory approvals.
• Any indicative pricing or floor price for the rights issue.

The full read

Shree Krishna Infrastructure Ltd., a nano-cap with a market cap of roughly ₹8 crore, has formally approved a rights issue and a tripling of its authorised share capital from ₹12.5 crore to ₹40 crore. The move signals a large equity raise for a company whose trailing revenue and profit have shrunk by 30% each. While the terms – issue size, record date, entitlement ratio – are yet to be fixed, the board's green light itself is a material development. For a company worth less than a tenth of its new authorised capital, even a modest rights issue could be massively dilutive. The appointment of an independent director adds governance gloss, but the story here is capital, not compliance. The open question is how the company prices and sizes the rights issue – because the market cap of ₹8 crore leaves little room for error.

Primary source: BSE · NSE