Bharat Bhushan Finance & Commodity Brokers Ltd — Updates, 09-06-2025: Company Update

Bharat Bhushan Finance & Commodity Brokers Ltd., a non-deposit taking NBFC engaged in equity and debt investment, securities trading, and financing to individuals and small businesses, has announced a rights issue of 33,80,400 equity shares at ₹10 each on a 1:1 basis to eligible shareholders as per record date. The issue size is ₹338.04 lakhs with net proceeds of ₹311.44 lakhs intended primarily to augment capital base (₹275 lakhs) and for general corporate purposes (₹36.44 lakhs). The funds are estimated based on management’s plan and not independently appraised. The issue will be under ASBA process with shares allotted in demat form only and listed on BSE. Promoters have committed to fully subscribe to their entitlements. The company reported a loss of ₹12.96 lakh in FY25 versus a profit of ₹21.77 lakh in FY24, with total income of ₹29.34 lakh down from ₹71.34 lakh, impacted by market volatility. No contingent liabilities exist. There are ongoing legal proceedings related to a SEBI order on NSEL membership cancellation, currently stayed by SAT and under settlement consideration. Related party transactions exist but are on normal commercial terms. Dividend of 6% per share has been recommended for FY25, subject to shareholder approval. Key risks include legal proceedings, reliance on key management and promoters, regulatory compliance, and market volatility. Investors must apply through ASBA and submit correct demat details; rights entitlements will be credited in demat accounts before the issue opens. Rights entitlements not exercised or renounced before closing will lapse. Non-resident investors are subject to FEMA and approval requirements. The issue period is June 16 to July 7, 2025, with on-market renunciation possible until July 1. The right shares will rank pari passu with existing equity. Detailed terms, risks, and financials are available in the Letter of Offer.