Sun Pharma Advanced Research Company has successfully allotted 3,85,10,000 warrants to Shanghvi Finance Private Limited at an issue price of ₹155.80 per warrant on a preferential basis. According to the latest exchange filing dated May 19, 2026, the Securities Allotment Committee approved the allotment following approvals from the board and shareholders earlier this year, along with in-principle approvals received from BSE and NSE. The company has received ₹149.99 crore from this warrant issuance, which represents 25% of the warrant issue price. Each warrant is convertible into or exchangeable for one fully paid-up equity share of face value of Re 1 of the company in accordance with SEBI ICDR Regulations.
The warrant issuance demonstrates Sun Pharma ARC's ability to raise capital through preferential allotment mechanisms. As reported in the exchange filing, the company has structured this transaction to provide Shanghvi Finance Private Limited with convertible instruments that can be converted into equity shares upon specific conditions. The ₹149.99 crore received represents a significant portion of the total warrant issue, indicating strong investor interest in the company's equity structure. The company has clarified that there will be no immediate change in the paid-up equity share capital upon allotment of the warrants, though the equity capital will increase upon conversion of the warrants into shares.
The warrant structure adheres to the provisions of SEBI ICDR Regulations, ensuring proper regulatory compliance for the convertible instrument issuance. According to the exchange filing, each warrant carries the same conversion terms and face value, providing uniformity in the equity conversion process. This regulatory framework ensures transparency and proper disclosure requirements are met throughout the transaction process, with the company maintaining strict adherence to all regulatory requirements for the warrant allotment.
Shanghvi Finance Private Limited is an unlisted private company incorporated in August 1989 and primarily functions as a Core Investment Company (CIC) for the Dilip Shanghvi group. As per the latest disclosures, Dilip S. Shanghvi, founder of Sun Pharmaceutical Industries, holds a 98.28% stake in the company, establishing a strong connection between the two entities. This strategic investment through the warrant allotment reflects the continued relationship between the Sun Pharma group and its core investment arm.
