Pro Fin Capital Services Ltd. to Hold Board Meeting on Bonus Share Proposal and Acquisition Interest

Pro Fin Capital Services Ltd., a small-cap firm in the financial sector, will hold a board meeting on November 26. The agenda includes discussing a 1:1 bonus share proposal and a letter of intent from Excellence Creative Ltd., based in Hong Kong. This letter, dated November 13, indicates interest in acquiring up to 25% of Pro Fin Capital's equity at Rs. 22 per share.

Excellence Creative Ltd.'s proposal is non-binding and requires board approval, due diligence, and compliance with SEBI regulations. The board will also revisit the bonus issue, initially approved on October 10, 2025. Shareholders will receive one new fully paid-up equity share for each existing share they hold, valued at Rs. 1 each.

In Q2FY26, ending September 30, 2025, Pro Fin Capital reported a net profit of Rs. 13.37 crore. This marks a significant increase of 443% compared to Rs. 2.46 crore in the same period last year. Total income for Q2FY26 rose by 540% to Rs. 44.62 crore from Rs. 6.97 crore in Q2FY25.

The company's revenue from operations increased by 26.5% year-on-year to Rs. 13.39 crore in the second quarter of FY2025-2026, up from Rs. 10.59 crore in the previous year’s quarter. As of November 21, Pro Fin Capital's shares were trading at Rs. 9.58 on the BSE with a market cap of approximately Rs. 284 crore.

Established in 1991, Pro Fin Capital Services Ltd. offers various financial services such as trading on NSE and BSE, currency derivatives, commodities, depository services, futures and options strategies, arbitrage trading, advisory reports, and research.

According to Screener data, the company's book value per share stands at around Rs. 2.92 with a price-to-earnings ratio of about 18.8x. However, its return metrics are modest with a return on equity (ROE) of approximately 5.88% and a return on capital employed (ROCE) of about 4.35%.

The board's approval of the letter of intent is contingent upon several factors including successful negotiations and regulatory compliance under SEBI guidelines.