Artificial Electronics Intelligent Material Ltd

Artificial Electronics Intelligent Material Limited (AEIM) Trading Window Closed from 1 October 2026 until 48 hours after the declaration and publication of unaudited financial results for the quarter and half-year ended 30 September 2026.

Issue overview

• Rights issue up to [●] Equity Shares at Rs [●] per share; record date [●]; gross ₹166.02 crore.

Proceeds and allocation

• Net proceeds ₹166.02 crore; ₹13.00 crore allocated to incremental working capital.

General corporate use

• General corporate purposes funded up to 25% of gross proceeds.

Promoter participation

• Promoters Eswara Rao Nandam and Uma Nandam to subscribe in full; promoter group includes Polymatech Electronics Limited.

Regulatory context

• Minimum subscription not applicable; no under-subscription to specific investors.

Financial performance

• FY2025-26 revenue ₹14,996.73 lakh; net profit after tax ₹3,675.20 lakh.

Capital structure

• Authorized capital: 10 crore shares; pre-issue issued: 27,669,590 shares; promoter stake 24.98%.

Convertible warrants

• Convertible warrants: 1,18,00,000 allocated; 1,08,50,000 outstanding.

Approvals and listing

• In-principle listing approval from BSE; final approvals pending; MUFG Intime as registrar; DSE: BSE.

Governance snapshot

• Board of six; directors include Uma Nandam (WTD) and Eswara Rao Nandam (Chairman); KMPs: Uma Nandam, Paloi, Tripathy.

Rights Issue Approval

• Rights issue of equity shares up to ₹166.02 crore at price to be determined.
• Record date for eligibility to be determined; shares outstanding before issue: 2,76,69,590.
• Intermediaries to be appointed; Draft Letter of Offer approved.

Governance and Process

• Constitution of Rights Issue Committee to determine terms and timing.
• Committee to decide fractional entitlement treatment and regulatory filings.

Offer Document

• Draft Letter of Offer approved; LOF to be issued electronically to eligible shareholders.

AGM details

• Date and time: 11 Sep 2026, 3:04 PM, via VC/OAVM.
• End time: 3:28 PM.
• Record date: 04 Sep 2026.
• Attendance: Promoter group 1; Public 72 via VC.

Key resolutions

• Ordinary: Adopt audited financial statements for year ended 31 March 2026.
• Ordinary: Re-appoint director retiring by rotation who offers for re-appointment.
• Ordinary: Approve material related party transaction with Polymatech Pvt Ltd.
• Ordinary: Approve material related party transaction with MOTO Works Pvt Ltd.

Voting results

• Resolution 1 passed: 100% in favour.
• Resolution 2 passed: 100% in favour.
• Resolution 3 passed: promoter votes invalid.
• Resolution 4 passed: promoter votes invalid.

Director changes

• Director retiring by rotation re-appointed.

Material related party transactions

• Polymatech Pvt Ltd: approval of material related party transaction.
• MOTO Works Pvt Ltd: approval of material related party transaction.

AGM Details

• Date/time/mode: 11 Sep 2026, 3:04 PM, via VC/OAVM.
• Record date for voting: 4 Sep 2026.

Voting & Conclusion

• Remote e-voting: Sep 8–10, 2026; AGM concluded Sep 11, 2026; results finalized.

Key Resolutions

• Resolution 1: Adopt audited standalone and consolidated financial statements.
• Resolution 2: Re-appoint Eswara Rao Nandam as director.
• Resolution 3: Approve material related party transaction with Polymatech Electronics Limited.
• Resolution 4: Approve material related party transaction with AIMOTO Works Private Limited.

Voting Outcomes

• All resolutions passed; promoter group votes on RPTs declared invalid due to related-party interest.
• No further dissent noted.

Director & Auditor Actions

• Director Eswara Rao Nandam re-appointed; tenure per policy.
• No auditor appointments reported.

Related Party Transactions

• Polymatech Electronics Limited: material RPT approved.
• AIMOTO Works Private Limited: material RPT approved.

Meeting Details

• Board meeting on 17 September 2026 at 3:00 PM at the registered office, Tamil Nadu.

Key Agenda Items

• Proposal for raising funds by rights issue of Equity Shares.
• Any other matters to be discussed with Chairperson's permission.

Other Notes

• Trading window closed for designated persons from 14 Sep 2026 to 48 hours post-meeting.

AGM details

• AGM held on 11 September 2026 via VC/OAVM, 3:04 PM to 3:28 PM.

Ordinary resolutions

• Adopt standalone and consolidated financial statements for FY2026.
• Re-appoint Eswara Rao Nandam by rotation.
• Approve material RPT with Polymatech Electronics Limited.
• Approve material RPT with AIMOTO Works Private Limited.

Material related party transactions

• Polymatech Electronics Limited: material RPT approved.
• AIMOTO Works Private Limited: material RPT approved.

Director changes

• Eswara Rao Nandam to be re-appointed by rotation.

Voting status

• Consolidated results to be announced within 2 working days.

Book Closure Details

• Book closure for equity shares: 04–11 Sep 2026 (inclusive) for AGM; cut-off 14 Aug 2026 for voting eligibility.

Financial snapshot

• Standalone revenue from operations rose to 14,996.73 Lakhs; Consolidated at 15,010.28 Lakhs.
• Standalone total income reached 15,155.67 Lakhs; Consolidated 15,169.22 Lakhs.
• Profit before tax: Standalone 4,919.95 Lakhs; Consolidated 4,922.99 Lakhs.
• Profit for the year: Standalone 3,675.20 Lakhs; Consolidated 3,677.47 Lakhs.
• Basic EPS: Standalone 17.73; Diluted 13.05; Consolidated 17.73 / 13.06.
• Dividend declared for FY25-26: None.

Capital structure & equity

• Authorised share capital ₹100 crore; paid-up ₹2,766.96 Lakhs (2,76,69,590 shares).
• Preferential allotment of 97,53,750 shares; warrants issued Nov 17, 2025.
• 1,18,00,000 convertible warrants issued; about 10.85 million outstanding at year end.
• 9,50,000 warrants converted to equity shares on Jan 30, 2026.
• Promoters hold: Polymatech 12.45%; Uma Nandam 8.21%.

Subsidiary & group structure

• Subsidiary AIMOTO Works Private Limited formed Oct 27, 2025; AEIM holds 53%.
• Group focuses on semiconductor materials, high-tech manufacturing, and EDA.
• Tamil Nadu site identified for semiconductor parts manufacturing.

Related party transactions & approvals

• Material RPT with Polymatech Electronics Ltd up to ₹500 Crores; shareholder approval sought.
• Material RPT with AIMOTO Works Private Limited up to ₹100 Crores; shareholder approval sought.
• Audit Committee approval and quarterly omnibus approvals for repetitive RPTs.

Governance & audit

• Statutory Auditor: D. G. M. S. & Co; unmodified opinion.
• Secretarial Auditor: Jitendra Parmar & Associates; no adverse observations.
• Board held 10 meetings in FY25-26; several independent director changes.
• Vigil mechanism, insider trading policy, and compliance certifications in place.

Cash flows & liquidity

• Net cash from operations: standalone −₹9,554.98 Lakhs; consolidated −₹15,755.37 Lakhs.
• Borrowings: standalone ₹4,250.00 Lakhs; consolidated ₹10,450.89 Lakhs.
• Gearing: standalone 0.25; consolidated 0.45.
• Trade receivables: standalone ₹11,248.16 Lakhs; consolidated ₹11,262.49 Lakhs.
• Cash and cash equivalents: standalone ₹816.87 Lakhs; consolidated ₹826.87 Lakhs.

Outlook, risk & strategic moves

• Buyer shift to subscriptions/cloud; potential impact on enterprise sales.
• Competition from global players; regulatory compliance remains essential.
• Make in India and PLI policies supportive; 5G and AI adoption favorable.

Shareholder information

• Dividend nil for FY2025-26; book closure 4-11 Sept 2026.
• Promoter group holdings and warrant-based capital changes noted.
• Equity shares and warrants trade in demat form; ISIN INE072B01027 (shares) and INE072B13014 (warrants).