SEPC Limited to acquire up to 90% of UAE‑based Avenir via Rs 10 per share preferential allotment

What SEPC announced

On 8 July 2026, SEPC Limited filed a revised press release with the National Stock Exchange stating that it intends to acquire a controlling stake in Avenir, a company incorporated in the United Arab Emirates. The acquisition will be executed through a preferential allotment of 153 crore equity shares at an issue price of Rs 10 per share. At the stated price, the total consideration works out to roughly Rs 1,530 crore. The allotment is expected to give SEPC up to 90 % ownership of Avenir once the transaction is completed.

Structure of the preferential allotment

The press release specifies that the shares will be allotted on a preferential basis, meaning they are offered to a select set of investors – in this case, the shareholders of Avenir – rather than through a public offer. The key terms disclosed are:

• Number of shares: 153 crore (1.53 billion) equity shares.
• Issue price: Rs 10 per share.
• Total proceeds: Approximately Rs 1,530 crore.
• Target stake: Up to 90 % of the equity of Avenir.
• Form of consideration: Equity shares issued by SEPC, not cash.

The issuance will be recorded in SEPC’s share capital, increasing the number of outstanding shares and consequently diluting the percentage ownership of existing shareholders. The filing does not disclose the exact post‑issue shareholding pattern, nor the identity of the investors who will receive the allotted shares.

Transaction timeline and regulatory requirements

The press release is labelled as a revised filing, indicating that earlier versions may have been amended. While the document does not provide a detailed timetable, standard practice for preferential allotments in India requires:

1. Board approval of the allotment terms.
2. Shareholder approval at a general meeting, as the issue will increase the authorized share capital.
3. Regulatory clearance from the Securities and Exchange Board of India (SEBI) and the stock exchanges.
4. Foreign investment clearance from the Reserve Bank of India (RBI) and the Ministry of Corporate Affairs, given the cross‑border nature of the acquisition.

The filing does not state whether any of these approvals have already been obtained; it merely announces the intention to proceed under the outlined terms.

Key facts at a glance

Why this matters for investors

The proposed allotment will have two immediate financial implications for SEPC shareholders:

• Dilution of ownership: By issuing 153 crore new shares, the proportion of existing shares in the total pool will fall. The exact dilution percentage depends on SEPC’s pre‑issue share count, which the filing does not disclose.
• Capital infusion: The Rs 1,530 crore raised will be recorded as share premium and equity, strengthening SEPC’s balance sheet and providing the cash‑equivalent value needed to secure the Avenir stake.

Strategically, the acquisition gives SEPC a foothold in the UAE market, potentially opening new revenue streams and diversifying its geographic exposure. However, the success of the move will hinge on the integration of Avenir’s operations and the ability to realise any synergies, matters that are outside the scope of the filing.

Conclusion

SEPC Limited has announced a plan to acquire up to 90 % of UAE‑based Avenir by issuing 153 crore equity shares at Rs 10 each, amounting to roughly Rs 1,530 crore. The transaction will increase SEPC’s share capital and dilute existing shareholders, while also expanding the company’s international presence. Completion of the deal remains contingent on shareholder and regulatory approvals, which have not yet been confirmed in the filing.