SPML Infra has raised more than Rs 1.9 billion through a preferential issue of equity shares and convertible warrants, aimed at strengthening its balance sheet, funding growth and converting debt into equity.The company's board approved the allotment of 693,999 equity shares and 9.54 million convertible warrants at Rs 186 per security. The warrants are convertible into equity shares within 18 months in accordance with SEBI regulations.As part of the transaction, National Asset Reconstruction Company (NARCL) converted an existing loan of Rs 71.6 million into 384,858 equity shares. SPML said the issue will bring in Rs 57.5 million through equity allotment, while the initial 25 per cent subscription towards warrants amounts to Rs 443.6 million. The balance will be received upon conversion. Following full conversion, the promoter group's shareholding is expected to be about 42 per cent.The preferential issue also includes participation by Manju Vijay Kedia, while Kedia Securities continues to hold its existing investment. Upon conversion of the warrants, the combined holding of the Kedia family will increase to approximately 3 per cent of the company's expanded equity capital.SPML highlighted its Rs 11.28 billion battery energy storage systems (BESS) engineering, procurement and construction contract from NTPC secured earlier this year. The company currently has an order book of about Rs 53.69 billion, with most projects expected to deliver operating margins of 10 per cent or higher.The company also said its strengthened financial position has been recognised through a long-term credit rating upgrade to BBB (Stable) by ICRA and a short-term rating of A3+ by CRISIL.Photo: Mr Vijay Kedia, Kedia Securities