CLSA to picks shares of Everest Kanto on preferential allotment at Rs.485

Everest Kanto Cylinder Ltd has announced that the Board of Directors of the Company at its meeting held on September 21, 2006, inter alia, has approved the preferential issue of 18,96,900 Equity Shares to M/s Brightwill Ltd, a subsidiary of a fund managed by CLSA Pvt Equity Management Ltd at a price of Rs 485/- per share aggregating to a total investment value of appx. Rs 92 crores which would be subject to a lock - in of 1 year in accordance with SEBI Guidelines for Preferential Allotment and subject to the fulfillment of such terms and conditions as maybe mutually agreed. The Preferential issue of shares would result in additional issue of shares of 9.72% of the enhanced equity share capital.

Sale of fixed assets of existing unit at Dubai to EKC International FZE, a Wholly Owned Subsidiary, subject to the approval of the members by Postal Ballot and other regulatory approvals.

Source : Equity Bulls

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