Shriram City Union Finance allots 28,50,000 shares to Shriram Capital Limited

The Equity Allotment Committee of Shriram City Union Finance Ltd at their meeting held on March 28, 2013 have allotted 28,50,000 equity shares of Rs. 10/- each pursuant to the exercise of option of conversion of warrants into equity shares by Shriram Capital Limited.

The Company had received an amount of Rs. 143/- per warrant for 59,00,000 warrants as a part of the subscription amount conferring an option to the holder to subscribe to one Equity Share per Warrant at an exercise price of Rs. 570/- per Warrant, being a price higher than the price determined as per Regulation 76(1) of Chapter VII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 on March 27, 2012.

The Equity shares are allotted upon exercise of their option to convert 28,50,000 warrants into 28,50,000 equity shares of Rs. 10/- each and with the receipt of the balance amount of Rs. 427/- per warrant payable by Shriram Capital Limited aggregating to Rs. 1,21,69,50,000/-.

Thus each of these 28,50,000 warrants have been converted into 28,50,000 equity shares of Rs. 10/- each duly paid up at a premium of Rs. 560/- per share.

Shares of Shriram City Union Finance Ltd last traded in BSE at Rs.1070.60, up by Rs.52.60 or 5.17%. The stock hit an intraday high of Rs.1090 and low of Rs.1018.

The total traded quantity was 798 compared to 2 week average of 89.

Source : Equity Bulls

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