• The company originally engaged in software services and commodities.
• It mulls diversification in to trading of agri products, foods, edible and non-edible oils, chemicals and related products, logistics etc.
• The company has posted unimpressive financial performances for the reported periods with losses.
• Considering its NAV of Rs. 6.65, the RI appears costly even though it is at par
• There is no harm in skipping this risky bet.
ABOUT COMPANY:
Capricorn Systems Global Solutions Ltd., (CSGSL) was, until September 13, 2025, engaged in business activities relating to software services and commodities, in accordance with the then-existing Object Clause(s) of its Memorandum of Association.
In order to diversify its business operations and explore opportunities for long-term sustainability, growth, and value creation for its shareholders, the Board of Directors of the Company, at its meeting held on August 22, 2025, approved the proposal to diversify the Company’s operations involving the purchase, sale, supply, import, export, marketing, distribution, logistics, and trading of (i) agricultural products and food grains, (ii) food and beverages, (iii) edible and non-edible oils, and (iv) chemicals and related products. This strategic initiative is intended to broaden the Company’s operational footprint, enhance revenue streams, and strengthen its presence across high-demand commodity segments.
Currently, the Company is engaged in carrying on activities relating to the purchase, sale, supply, import, export, marketing, distribution, logistics, and trading of (i) agricultural products and food grains, including rice, wheat, pulses, and oilseeds, (ii) food and beverages, (iii) edible and non-edible oils, and (iv) chemicals and related products, as well as providing software services. As of September 30, 2025, it had 7 employees on its payroll. It also hires contract labours as and when needed.
ISSUE DETAILS:
The company is coming out with its Rights Issue (RI) of 23976000 equity shares of Rs. 10 each at par value to mobilize Rs. 23.98 cr. The RI has opened for subscription on February 09, 2026, and will close on February 17, 2026. The company is offering RI in the ratio of 6 for 1 to its eligible stakeholders as of the record date of January 30, 2026. The company is asking for full payment on application for the number of shares applied. Post allotment, RI shares will be listed on BSE SME. The company is spending Rs. 0.50 cr. for this RI process, and from the net proceeds, it will utilize Rs. 18.00 cr. for working capital, and Rs. 5.48 cr. for general corporate purposes.
The RI is solely lead managed by the company itself., and KFin Technologies Ltd. is the registrar to the issue. Venture Capital and Corporate Investments Pvt. Ltd. Is the registrar to the company.
Post-RI, company’s current paid-up equity capital of Rs. 4.00 cr. will stand enhanced to Rs. 27.97 cr. Based on the RI pricing, the company is looking for a market cap of Rs. 27.97 cr.
FINANCIAL PERFORMANCE:
On the financial performance front, for the last two fiscals, the company has posted total income / net profit/ – (loss), of Rs. 0.83 cr. / Rs. – [0.15) cr. (FY24), Rs. 1.01 cr. / Rs. – (0.91) cr. (FY25). For Q1 of Y26 ended on June 30, 2025, it marked a loss of Rs. – (0.10) cr. on a total income of Rs. 0.27 cr. Thus, it posted a loss making financial performances for the reported periods. As of June 30, 2025, its NAV stood at Rs. 6.65 per share.
DIVIDEND POLICY:
The company has not paid any dividends for the reported periods. 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: 512169 (FV Rs. 10).
The scrip last closed on cum-right basis at Rs. 20.64 on January 27, 2026, and opened on an ex-right basis at Rs. 10.95 on February 02, 2026. Since then, it has marked a high/low of Rs. 10.95 / Rs. 10.41. The scrip last closed at Rs. 10.41 as of February 09, 2026. For the last 52 weeks’ it has posted a high/low of Rs. 12.12 / Rs. 6.46. The counter is currently under GSM: Stage 3.
The promoters’ holding has been at 24.91% for the last three quarters ended December 31, 2025. The counter is currently maintained above the par value to tempt investors.
Conclusion / Investment Strategy
CSGSL originally engaged in software services and commodities. It mulls diversification in to trading of agri products, foods, edible and non-edible oils, chemicals and related products, logistics etc. The company has posted unimpressive financial performances for the reported periods with losses. Quantum jump in post-RI equity capital also hints at its servicing issue. Considering its NAV of Rs. 6.65, the RI appears costly even though it is at par There is no harm in skipping this risky bet.
