Welcure Drugs & Pharmaceuticals Approves 1:10 Bonus Issue, 10:1 Stock Split and QIP Fundraising

Welcure Drugs & Pharmaceuticals Ltd (BSE: 524661) has approved a bonus issue, stock split, authorised capital increase, and a proposal to raise up to ₹80 crore through Qualified Institutional Placement (QIP). These decisions, finalised at the board meeting on August 22, 2025, follow a remarkable Q1FY26 performance, with sharp gains in revenue and profitability.

Board Approves 1:10 Bonus Issue and 10:1 Stock Split

The company has approved the issue of bonus shares in a 1:10 ratio, with 1,12,35,820 shares to be issued by capitalising reserves. Post bonus issue, the paid-up share capital will rise to 12,35,94,020 equity shares aggregating to ₹123.59 crore. Alongside, the board has cleared a 10:1 stock split, dividing 1 equity share of ₹10 into 10 shares of ₹1 each, enhancing affordability and liquidity for retail investors. The split will be completed within 2 months of shareholder approval through a postal ballot.

Increase in Authorised Share Capital

The company has also approved raising its authorised share capital from ₹186 crore to ₹196 crore, subject to shareholder consent. This provides headroom for future growth and investment initiatives. These actions are aligned with Welcure’s strategy to broaden shareholder participation and strengthen its equity structure.

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₹80 Crore QIP and Agro Pharma Research Facility

Welcure plans to raise up to ₹80 crore by way of QIP in one or more tranches to support expansion, including the establishment of a high-end agro-pharma research laboratory. The proposed facility, costing about ₹70–80 crore, will include laboratory infrastructure, pilot lines, and quality systems developed as per cGMP standards and aligned to US FDA botanical drug development guidance. The objective is to scale botanical inputs into pharma-grade products for domestic and international markets.

Welcure Drugs & Pharma Q1FY26 Earnings Results

In Q1FY26, revenue from operations rose sharply to ₹299.91 crore compared to ₹21.21 crore in Q4FY25. Net profit surged 830% sequentially to ₹23.29 crore from ₹2.50 crore in the previous quarter. This growth was driven by the company’s successful execution of 7 export-sourcing assignments valued at ₹299.91 crore, generating commission-based income without inventory exposure. Additionally, the company secured a ₹517 crore global sourcing mandate expected to yield service income of about ₹25.85 crore in FY26.

Welcure Drugs & Pharmaceuticals Share Price Performance

On August 25, 2025, Welcure Drugs & Pharmaceuticals share price opened at ₹11.33 on BSE, below the previous close of ₹11.92. During the day, it surged to ₹11.33 and dipped to ₹11.33. The stock is trading at ₹11.33 as of 11:22 AM. The stock registered a significant decline of 4.95%.

Over the past week, it has declined by 6.36%, over the past month, it has moved up by 17.90%, and over the past 3 months, it has declined by 0.87%.

Conclusion

Welcure Drugs’ strong Q1FY26 performance, coupled with strategic corporate actions including a bonus issue, stock split, capital raise, and new agro-pharma initiatives, underlines its ambition to enhance shareholder value and expand its footprint in domestic and global healthcare markets. The upcoming QIP-backed research venture further supports long-term growth plans.

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