Marg Techno BSE RI review - (Not Rated)

•    The name of the company is misguiding, it is engaged in financial services as RBI registered NBFC.
•    The company posted minuscule financial performance for the reported periods.
•    Post-RI, its paid-up equity capital will be 4.5 times higher at Rs. 78.10 cr.
•    Though the RI is at a discount of around 33.82%, its high risk/low return bet.
•    There is no harm in skipping this dicey RI.

PREFACE:
The company is coming out with its Rights Issue for which is has fixed a record date as June 20, 2026, and the offer document is dated June 16, 2026, but the offer document with designated exchanges were uploaded only on June 25, 2026. Such type of things is seen quite often. The offer document has erred on its “The Issue” info on page no. 41 as well as on page no. 47. Surprisingly, it is showing hike in its security premium account, while the RI is at par value. The offer document misses many finer points.

ABOUT COMPANY:
Marg Techno Projects Ltd., (MTPL) is carrying the business as NBFC registered with RBI. It is engaged in business to perform and undertake activities pertaining to finance, advance, assist, provide, extend, lend money with or without guarantee, with or without security by way to term loan, medium term loan, short term loan, deferred payment guarantee, lease finance, venture finance and by any other mode or scheme to industrial units, trading business, industry co-op. societies, industrial co-op. Banks, sugar co-op. Societies, federation, mill producer, educational institutes, Universities, computer center, health center, hospitals etc. and other establishments, local body, municipal corporation, company and to any person/s.

The Company has consistently delivered competitive, reliable, and tailor-made financial solutions to a diverse customer base. In 1999, the Company obtained its Non-Banking Financial Company (NBFC) license from the Reserve Bank of India (RBI), following which it has been actively engaged in NBFC operations, strengthening its position as a trusted financial services provider. The offer document is silent on its employees’ strength data.

ISSUE DETAILS:
The company is coming out with its Rights Issue (RI) of 63900000 equity shares of Rs. 10 each at par value to mobilize Rs. 63.90 cr. The RI opens for subscription on June 29, 2026, and will close on July 06, 2026. The company is offering RI in the ratio of 9 for 2 to its eligible stakeholders as of the record date of June 20, 2026. The company is asking for full application money for number of shares applied. Post allotment, RI shares will be listed on BSE and MSE. The company is spending Rs. 0.50 cr. for this RI process, from the net proceeds, it will utilize Rs. 61.30 cr. for augmenting its capital base, and Rs. 2.60 cr. for general corporate purposes. 

The RI is solely lead managed by the company itself., and MCS Share Transfer Agent Ltd. is the registrar to the issue. 

Post-RI, company’s current paid-up equity capital of Rs. 14.20 cr. will stand enhanced to Rs. 78.10 cr. Based on the RI pricing, the company is looking for a market cap of Rs. 78.10 cr. 

FINANCIAL PERFORMANCE:
On the financial performance front, for the last three fiscals, the company has posted total income / net profit, of Rs. 5.01 cr. / Rs. 0.14 cr. (FY24), Rs. 5.41 cr. / Rs 0.41 cr. (FY25), Rs. 6.93 cr. / Rs. 0.99 cr. (FY26). The company posted minuscule financial performances so far, while it is hiking its paid up capital nearly 4.5 times to Rs. 78.10 cr., that may raise its servicing issue going forward.

DIVIDEND POLICY:
The company has not paid any dividends for the reported periods of the offer document. It will adopt a prudent dividend policy, based on its financial performance and future prospects. The offer document is silent on its dividend policy.

SCRIP PERFORMANCE: BASED ON BSE WEBSITE DATA: SCRIP CODE: 540254 (FV Rs. 10).
The scrip last closed on cum-right basis at Rs. 33.62 on June 18, 2026, and opened on an ex-right basis at Rs. 13.63 on June 19, 2026. Since then, it has marked a high/low of Rs. 16.00 / Rs. 13.58. The scrip last closed at Rs. 15.11 as of June 25, 2026. For the last 52 weeks’ it has posted a high/low of Rs. 22.14 / Rs. 7.95. The counter is currently under ESM: Stage 1.

The promoters’ holding has been at NIL for the last three quarters ended on March 31, 2026. The counter is well maintained above par value to lure investors.