Fineotex Chemical Limited a small-cap company announced on Friday in a regulatory filing the allotment of 1.37 crore equity shares at ₹34.60 per share following the conversion of warrants by investors. This allotment received approval during a board meeting held on the same day.

This strategic move executed on a preferential basis elevates the companys issued and paid-up capital to ₹115.95 crore.

According to data from BSE renowned investor Ashish Kacholia is a shareholder in Fineotex Chemical.

Kacholia holds 30005680 shares in the company which specializes in the manufacturing of chemicals for the textiles water treatment home care and oil and drilling fluids industries. Fineotex was listed on the stock exchanges in 2011.

These shares were issued as a result of the conversion of 13.75 lakh warrants previously granted to promoters and other investors into equity shares. The investors have remitted the remaining 75% of the conversion amount totaling ₹35.68 crore.

In adherence to the SEBI (Issue of Capital and Disclosure Requirements) Regulations 2018 the number of shares and their corresponding value were adjusted to reflect the recent stock split and bonus issue which were approved at the Extraordinary General Meeting held in October 2025.

The company stated in its filing that the newly issued shares will possess the same rights and status as the company’s existing shares.

In October Fineotex Chemical secured shareholder approval for both a stock split and a bonus share issue.

In September the board of directors had proposed a stock split wherein one equity share with a face value of ₹2 would be divided into two equity shares with a face value of ₹1 each.

The board also endorsed the issuance of bonus shares at a ratio of 4:1 meaning that four fully paid-up equity shares of ₹1 each would be issued for every one share of ₹1 held subsequent to the stock split.

The companys stock was last traded at ₹24.57 per share representing a 1.9% decrease from its previous closing price and approximately a 1.5% decline over the past five days.

On Friday the share initially experienced a decline of approximately 2.5% to ₹24.60 upon the announcement before partially recovering its losses later in the trading session.