Mehai Technology Limited Unveils Ambitious Rights Issue to Power Growth and Financial Strength

Mehai Technology Limited Launches ₹74 Crore Rights Issue for Big Growth Push

Jaipur-based Mehai Technology Limited, a dynamic player in electronics, IT services, and infrastructure, just announced a major rights issue worth up to ₹74 crore. This smart move aims to fuel the company’s next growth phase, boost financial stability, and create real value for shareholders. Operating from Jaipur and Kolkata, Mehai stands out in India’s competitive market by diversifying across key sectors.

A Quick Look at Mehai’s Journey

Founded in December 2013 and listed on the stock exchange in 2017, Mehai has grown fast. The company trades electronics and mobile accessories, offers IT services like software maintenance, PAN validation, and SMS analysis, and handles EPC projects in solar, electrical, and construction areas. Its subsidiaries add muscle in pharmaceuticals and packaged water, serving big clients like IRCTC. This mix shows Mehai’s knack for innovation and expansion in India’s booming tech and infra space.

What the Rights Issue Means for Shareholders

This rights issue is a win for existing investors. It gives them a 1:1 ratio—meaning one new share for every share they own—at just ₹2 per share. That’s a steal compared to the recent ex-rights price of ₹8.78. With over 3.7 crore shares on offer, a full subscription could double Mehai’s capital base to ₹74 crore, opening doors to bigger opportunities.

Only shareholders with Indian addresses as of September 18, 2025, can join in. They get flexibility too: renounce rights fully or partially, either on-market or off-market. The process uses ASBA for quick, transparent applications, and Rights Entitlements will trade on the BSE during the subscription period, keeping things liquid and engaging.

How the Funds Will Supercharge Growth

Mehai plans to use the money wisely across four key areas to drive sustainable expansion:

• Debt Reduction: ₹33 crore goes to repay or prepay borrowings, cutting interest costs and building stronger finances that shareholders can trust.

• Working Capital Boost: ₹14.75 crore will ramp up operations, handle rising demand, and keep the innovation engine running.

• Subsidiary Support: More than ₹9 crore heads to Mehai Aqua Pvt Ltd for loan repayments and growth in the packaged water business.

• General Corporate Needs: Up to 25% of funds will fuel tech upgrades, new ventures, and strategies to reach more markets.

This focused approach highlights Mehai’s commitment to long-term strength in sectors like electronics trading, IT services, and infrastructure projects.

Promoters Show Strong Backing

Mehai’s promoters, Dynamic Services & Security Limited, promise to grab at least 30% of their rights entitlement. They’ll cover any shortfalls too, as long as it meets regulatory rules on public shareholding. All new shares come in demat form for easy, secure handling—another plus for investors.

Impressive Financials Point to Bright Future

Mehai’s numbers tell a success story. In FY 2025, revenue soared past ₹100 crore—almost six times what it was two years back. Net profit jumped over tenfold from FY 2023 to ₹7 crore, backed by growing reserves. With convertible warrants in play and a bigger share capital, the company has plenty of room for future raises and wins.

Key Dates to Note

Mark your calendars for these timelines:

• Rights Issue opens: September 26, 2025
• Closes: October 17, 2025
• Expected listing: Around October 24, 2025
• Renunciation deadlines: October 14 (on-market), October 16 (off-market)

Why This Matters for Investors

Mehai Technology Limited’s rights issue isn’t just about raising cash—it’s a bold step to solidify the balance sheet and lead in tech-driven growth. With visionary leaders, solid finances, and diverse businesses, Mehai is geared up to reward shareholders and stakeholders. As India pushes for innovation in electronics, IT, and infra, this Jaipur-Kolkata innovator looks set to shine.

(This is an advertorial provided by PNN. takes no responsibility for the content.)

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