Shriram EPC Ltd approves issue of securities to CDR lenders

The Board of Directors of Shriram EPC Ltd at its meeting held on April 10, 2015, has discussed and approved the conversion of the funded interest term loan to the maximum of Rs. 313 Crores of the CDR Lenders into equity shares of the Company. CDR Lenders refers to the lenders of the Company whose loans are restructured under the Corporate Debt Restructuring (CDR) package.

The Board approved issue of equity shares in lieu of the sacrifice amount to the maximum of Rs. 185 Crores to the CDR lenders.

The Board approved issue of equity shares of the Company on preferential basis to the promoters, Shriram Industrial Holdings Ltd (SIHL) to the extent of Rs. 389 Crores and use of proceeds from such issuance towards redemption of cumulative redeemable preference shares and the repayment of the unsecured loan.

The Board also approved other related amendments to the memorandum of association and articles of association of the Company.

Shares of SHRIRAM EPC LTD. was last trading in BSE at Rs.38.55 as compared to the previous close of Rs. 39.5. The total number of shares traded during the day was 25043 in over 611 trades.

The stock hit an intraday high of Rs. 40.85 and intraday low of 38. The net turnover during the day was Rs. 983746.

Source : Equity Bulls

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