Sindhu Trade Links Shares in Focus as Company Revises Rs. 922-Crore Acquisition and Preferential Allotment Proposal Ahead of EGM
Sindhu Trade Links Ltd. is likely to remain in focus after the company issued a corrigendum to the notice of its upcoming Extraordinary General Meeting (EGM), providing additional disclosures and revised details related to its proposed acquisitions of Advent Coal Resources Pte. Ltd. and Sainik Mining and Allied Services Ltd. through preferential issuance of equity shares and compulsorily convertible preference shares (CCPS).
The company informed stock exchanges that the EGM scheduled for June 18, 2026, will consider proposals involving transactions worth over ₹922 crore, aimed at expanding its presence in the mining and natural resources sector. The corrigendum was issued following observations and requests for additional information from the NSE and BSE regarding the proposed preferential issues.
As part of the transaction, Sindhu Trade Links proposes to acquire a 78.26% stake in Advent Coal Resources Pte. Ltd., Singapore, through a share-swap arrangement valued at ₹697.06 crore. To facilitate the acquisition, the company plans to allot 30.04 crore equity shares on a preferential basis at an issue price of ₹23.20 per share, including a premium of ₹22.20 per share.
The largest allotment under the proposal would be made to Indo Pacific Partners (PTC) Limited, trustee of The Indo Pacific Partners Trust, which is set to receive over 20.60 crore equity shares against consideration of ₹478.04 crore. Other beneficiaries include Astrea Fund Limited, RMK Investments Pte. Ltd., Sub Rosa Partners Pte. Ltd., Artham Resources Management-FZCO, and Sharifah Binti Syed Mohamad.
In a separate transaction, the company plans to acquire a 50.1% equity stake in Sainik Mining and Allied Services Ltd. for ₹225.45 crore. The acquisition will be executed through the issuance of 9.71 crore CCPS at ₹23.20 per security, which will be convertible into equity shares on a 1:1 basis.
According to the revised disclosures, Sainik Mining India Private Limited will receive 4.65 crore CCPS, while promoter group entities and individuals including Rudra Sen Sindhu, Vir Sen Sindhu, Vrit Pal Sindhu, Abhimanyu Sindhu, Satyapal Sindhu, and Dev Sindhu will receive the remaining securities. Upon conversion, these CCPS could account for approximately 34.78% of the company’s expanded equity base.
The company clarified that both the equity shares and CCPS have been priced in accordance with SEBI ICDR Regulations. Based on the valuation report and applicable pricing formula, the floor price was determined at ₹23.13 per share, while the issue price has been fixed at ₹23.20 per security. The valuation was conducted by independent registered valuer Rajan Sahdev.
Sindhu Trade Links also stated that the proposed transactions will not result in any change in management control. To comply with minimum public shareholding norms, the company has committed to reducing promoter holdings before conversion of the CCPS so that promoter and promoter-group ownership remains within the regulatory threshold of 75% on a fully diluted basis.
Further, the company has appointed ACER Credit Rating Private Limited as the monitoring agency for both preferential issues, given that the transactions involve consideration other than cash and exceed ₹100 crore in size.
Investors will closely watch the outcome of the June 18 EGM, as approval of the resolutions could significantly reshape Sindhu Trade Links’ asset portfolio and strengthen its exposure to coal and mining-related businesses through the proposed acquisitions.
Disclaimer: This article is for informational purposes only and does not constitute financial advice.
