Ashirwad Steels & Industries Limited updates on sale of assets

The Board of directors of Ashirwad Steels & Industries Limited at its meeting held today, have decided in principle to replace the 'Business transfer agreement' dated 03.01.2019 signed and executed between the company and SHV energy private limited covering sale and transfer of company's LPG bottling plant located at Uluberia industrial growth centre, Howrah, by execution of two fresh separate agreements with the said SHV energy private limited being (A) one for sale, transfer and assignment of lease hold rights of the plant's entire land (taken on lease from WBIIDC) to them and (B) second separate agreement for sale of other movable assets (plant and machineries, electrical and water installations and fire fighting equipment's etc) to the said company at a total combined consideration value of rupees sixteen crores as agreed and settled in the said BTA dated 03.1.2019 plus applicable GST. The Board has authorised specific directors to accord the final approval to the new agreements and to sign and execute the same subject to acceptance of the terms and conditions as are finalised and enshrined in the said fresh and new agreements.

The board unanimously took a decision and decided to sell, dispose off, lease out, demerge Company's two industrial units being Sponge Iron Plant located at Jamshedpur and also company's LPG bottling plant located at, Raigarh, Chhatisgarh to any willing buyer / purchaser / lessee and authorised the specified directors to look and identify a prospective buyer for the same and negotiate about the consideration value and other terms and conditions of sale / transfer / demerger of the same and to take shareholders permission or the same through a special resolution by the prescribed postal ballot process.

The Board also decided to take permission from the shareholders through a special resolution by postal ballot process to authorise the board to invest surplus funds of the company up to a limit of Rupees Seventy five crores in modification of existing limit of Rupees Fifty Crores.

The company will shortly inform you about the details of the proposed postal ballot process and submit you with the necessary copies of special resolutions, postal ballot notice along with postal ballot for after the same have been finalised in consultation with RTA and CDSL.

Shares of ASHIRWAD STEELS & INDUSTRIES LTD. was last trading in BSE at Rs. 17.10 as compared to the previous close of Rs. 16.30. The total number of shares traded during the day was 20482 in over 137 trades.

The stock hit an intraday high of Rs. 17.10 and intraday low of 16.55. The net turnover during the day was Rs. 350122.00.

Source : Equity Bulls

Keywords

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