Incorporated in **1986** and headquartered in Mumbai, **Ajcon Global Services Limited (AGSL)** is a diversified financial services powerhouse. The company operates a comprehensive "one-stop-shop" model for the Indian capital markets, catering to retail investors, High Net Worth Individuals (**HNIs**), institutional investors, insurance companies, and corporate clients. AGSL is a **SEBI-registered** Category-I Merchant Banker and a member of both the **NSE** and **BSE**. --- ### **Core Business Verticals & Service Ecosystem** AGSL operates as a single reportable segment under **Ind AS 108**, integrating multiple financial disciplines to provide a seamless client experience: * **Stock Broking & Trading:** Comprehensive execution services in **Equity, Currency, and Futures & Options (F&O)**. The company manages both client-based brokerage and **proprietary trading** desks. * **Merchant Banking & Investment Banking:** As a **Category-I Merchant Banker**, AGSL handles valuation assignments, IPO management, and project-related fund requirements. * **Corporate Advisory:** Specialized focus on business strategy, debt syndication, and financial restructuring for corporate clients. * **Depository Participant Services:** Registered with **CDSL** to provide secure electronic custody and settlement services. * **Equity Research:** A dedicated **SEBI-registered** research cell providing market insights, sector reports, and investment guidance. * **Ancillary Financial Services:** Through its group structure and subsidiaries, the company offers: * **NBFC Activities:** Retail loans including Home Loans, Loans Against Property (**LAP**), Personal Loans (**PL**), and Business Loans. * **Mutual Fund Distribution:** Wealth management and third-party product distribution. * **Compliance Training:** Specialized training in Financial and Cyber Crime Compliance via **fincrimeexpert.com**. --- ### **Strategic Re-engineering & Asset Optimization** The company is currently executing a multi-pronged strategy to streamline its corporate structure and focus on high-margin verticals. * **Divestment of Non-Core Assets:** In **August 2024**, the Board approved the **100% disinvestment** of equity stakes in **Ajcon Comtrade Pvt. Ltd.** and **Kanchanmanik Securities Private Limited**. This move was driven by the insignificant operations and net worth of these units, allowing management to focus resources on core growth areas. * **Digital Transformation:** AGSL is aggressively pursuing retail growth through its **"3-in-1 Accounts"** tie-up with **Bank of India**. This is facilitated via the online platforms **ajcononline.com** and **pyarapaisa.com**. * **Institutional Expansion:** A primary strategic goal is increasing empanelment with large **FIIs** and **Mutual Funds** to grow secondary market brokerage income. --- ### **Capital Structure & 2025 Corporate Actions** AGSL has recently undertaken significant capital restructuring to improve market liquidity and fund expansion. **1. Stock Split (June 2025)** To enhance retail participation and marketability, the company implemented a sub-division of its equity: * **Old Face Value:** **₹10** per share. * **New Face Value:** **₹1** per share (Ratio of **1:10**). * **New ISIN:** **INE759C01027** (Effective **June 20, 2025**). **2. Resource Mobilization (Convertible Warrants)** In **January 2025**, the company initiated a preferential issue to non-promoters to address capital constraints: * **Instrument:** **1,000,000 Convertible Warrants** (Adjusted to **10,000,000** post-split). * **Issue Price:** **₹66.00** per warrant (including a **₹56.00 premium**). * **Total Capital Target:** **₹6.60 Crores**. * **Terms:** **25%** (**₹16.50**) paid upfront; **75%** (**₹49.50**) due within **18 months** for conversion. * **Utilization:** Funds are earmarked for **working capital**, **technology upgradation**, and meeting competition in Merchant Banking. --- ### **Financial Performance Summary** While the company has grown its net worth consistently, recent profitability reflects the volatile nature of the capital markets and the costs associated with business re-engineering. | Particulars (₹ in Lacs) | FY 2022-23 (Cons.) | FY 2023-24 (Cons.) | FY 2024-25 (Cons.) | | :--- | :--- | :--- | :--- | | **Paid-Up Share Capital** | **611.62** | **611.62** | **611.62** | | **Net Worth** | **1,749.49** | **1,853.78** | **2,056.18** | | **EBITDA** | — | **281.49** | **196.18** | | **Net Profit (PAT)** | — | **129.96** | **57.36** | *Note: The company did not recommend a dividend for **FY 2023-24** or **FY 2024-25**, opting to retain all profits to strengthen the capital base for institutional empanelment.* --- ### **Subsidiary Framework** As of **March 31, 2025**, the company’s operational structure is as follows: | Subsidiary Name | Holding % | Status/Nature | | :--- | :--- | :--- | | **Ajcon Finance Limited** | **78.87%** | Material Subsidiary (NBFC/Lending) | | **Ajcon Comtrade Pvt. Ltd.** | **100%** | Disinvestment approved (Aug 2024) | | **Kanchanmanik Securities Pvt. Ltd.** | **100%** | Disinvestment approved (Aug 2024) | --- ### **Risk Matrix & Mitigation Profile** AGSL operates under a formal **Risk Management Policy** overseen by an **Audit Committee** and internal auditors **Atul Donde & Company**. | Risk Factor | Impact & Context | Mitigation Strategy | | :--- | :--- | :--- | | **Market Volatility** | Geopolitical tensions (Red Sea) and global inflation. | Diversification into **Advisory** and **Merchant Banking** to offset brokerage fluctuations. | | **Capital Base** | Low capital limits empanelment with large **FIIs**. | Recent **₹6.60 Cr** warrant issue to bolster net worth. | | **Competition** | Threat from **discount brokers** and established peers. | Focus on high-touch **Corporate Advisory** and **3-in-1 bank tie-ups**. | | **Regulatory** | Changes in **SEBI** norms or **New Labour Codes (2025)**. | Continuous monitoring; preliminary assessment shows **no material impact** from new codes. | | **Liquidity** | Counter-guarantees for clearing. | Maintains **₹113.75 lacs** in guarantees backed by **₹63.83 lacs** in FD margins. | --- ### **Governance & Leadership Continuity** The company is led by a stable management team with deep industry expertise: * **Promoter Holding:** The **Promoter Group** maintains a strong stake of **65.84%** (as of March 2025). * **Leadership:** **Mr. Ashok Ajmera** has been re-appointed as **Managing Director** for a three-year term (**2026–2029**) to ensure strategic continuity. * **Board Oversight:** The appointment of **CA. Sangeeta Vijay Kumar** as an **Independent Director** (5-year term until **2030**) strengthens the governance and audit framework. * **Dematerialization:** **95.54%** of the company’s **61,16,200** shares are held in demat form, ensuring transparency and ease of trade.