Fusion Finance has forfeited 1.63 lakh partly paid rights shares worth ₹1.07 crore after investors failed to pay despite the final reminder. According to reports from The Economic Times, the microfinance company stated it has not received payments from right issue holders for these shares even after the final reminder call. The non-payment has resulted in forfeiture of the partly paid-up equity shares, including the amount already paid.
Despite the forfeiture, Fusion Finance successfully converted 2.29 lakh shares into fully paid-up equity shares after receiving ₹1.50 crore in call money. As reported by The Economic Times, the company's rights issue committee approved this conversion at its meeting held Tuesday upon receipt of the call money. The conversion brings these shares to fully paid status, improving the company's equity structure.
The forfeiture relates to the second leg of Fusion Finance's rights issue, where the payment for 3.92 lakh shares at ₹65.50 per right equity share remained unpaid before the final call. According to The Economic Times, the company raised nearly ₹800 crore in rights issue in partly paid shares, with this forfeiture representing a portion of the outstanding payments from the second tranche.
The forfeiture was reported in a regularity filing by Fusion Finance, ensuring compliance with regulatory requirements for rights issue procedures. As reported by The Economic Times, the company's rights issue committee made the conversion decision following proper procedures and after receiving the necessary call money from investors.
