VL E-Governance & IT Solutions: Undersubscription in Preferential Issue Affects Viability of Objects

VL E-Governance & IT Solutions Ltd. has experienced undersubscription in its preferential issue, leading to a reduction in issue size from Rs.630.00 crore to Rs.400.99 crore. This undersubscription may impact the viability of the objects. The share price has been volatile, declining 75% since the preferential issue announcement and 90% from its peak. The share price stood at Rs.19.51 on December 31, 2025, which is lower than the warrant exercise price of Rs.75. This may impact on the upcoming subscription / conversion of warrants. The promoter's holding has decreased from 33.16% to 23.24% with a post-warrant conversion expected to fall to 15.81%.