Vascon Engineers Limited approves fund raising proposals

The Board of Directors of Vascon Engineers Limited at its Board Meeting held on April 27, 2017 have approved the fund raising proposals subject to approval of the Shareholders by way of Special Resolution with or without modifications.

The Board approved proposal to alter the Articles of Association of the Company permitting the Company to issue Compulsorily Convertible Debentures.

The Board approved proposal to issue Compulsorily Convertible Debentures for an amount of upto a maximum Rs. 110,00,00,000 by way of a preferential allotment on private placement basis to Manan Finserve Private Limited and Vinca Rosea Farms and Properties LLP. Each CCD shall carry an IRR of (seventeen percent) 17% per annum ("CCD Interest Rate") compounded monthly. Of the CCD Interest Rate, the Company shall service the CCDs at (twelve percent) 12% per annum payable monthly mandatorily and the balance shall be payable on the Conversion Date. The CCD's shall be issued at a Face Value of Rs. 1000 each. The CCDs will be converted to equity shares at the end of 18 months or earlier at the option of Investors.

The Board approved the conversion price of equity share at the higher of the following:

i. Rs. 45.60 per share including the premium of Rs. 35.60 Per share
ii. Price as determined as per SEBI (Regulation 76 0f Issue of Capital and Disclosure Requirements)Regulations, 2009

The Board of Directors also approved grant of upto 1,60,00,000 (One Crore Sixty Lacs) stock options to the eligible employees of the Company under Employee Stock Option Scheme vesting from 2018 to 2021 at a price to be decided by the Board of Directors.

The Board approved the convening of the Extra-ordinary General Meeting of the Company to consider and approve the above matters on 24th May 2017 and also approved the draft notice to be issued.

The Board of Directors also approved Share Pledge of 75% of Equity Shares held by Vascon Engineers Ltd in Mumbai Estate Pvt. Ltd to Mr. R Vasudevan against the Pledge of 1,61,00,000 Vascon shares held by Mr. R. Vasudevan to State Bank of India for the facilities provided to Vascon Engineers Ltd.

The meeting commenced at 1500 hrs and concluded at 1650 hrs.

Shares of Vascon Engineers Ltd was last trading in BSE at Rs.51 as compared to the previous close of Rs. 54.1. The total number of shares traded during the day was 1060435 in over 4781 trades.

The stock hit an intraday high of Rs. 55.45 and intraday low of 50.65. The net turnover during the day was Rs. 55241304.

Source : Equity Bulls

Keywords