Davangere Sugar Company Limited — Important, 04-08-2025: Updates

Davangere Sugar has announced a rights issue of up to 48.92 crore equity shares at Rs. 3.05 each, aiming to raise up to Rs. 149.22 crore. A significant portion of these funds (Rs. 67.50 crore) will repay bank loans. Additionally, Rs. 44.25 crore of an outstanding unsecured loan from the promoter will be converted into equity, showcasing strong insider commitment. The remaining capital will support general corporate needs. This move is set to strengthen the company's balance sheet and operational liquidity for its sugar, power, and ethanol businesses.