Kirloskar Oil Engines Limited updates on investment

Kirloskar Oil Engines Limited has invested Rs. 4,99,20,550/- towards the Rights Issue of equity shares having face value of Rs. 10/- each of Arka Financial Holdings Private Limited (AFHPL - a wholly owned subsidiary) as per payment terms covered in the Letter of Offer issued by AFHPL to the Company. The Board of Directors had decided to keep the total investment in financial service subsidiaries, directly or indirectly, capped at Rs. 1,000 Crores including the investment made so far.

The Company has transferred 4,520,000 fully paid-up equity shares having face value of Rs. 10/- each of Arka Fincap Limited (AFL – Subsidiary Company) to AFHPL, a wholly owned subsidiary at Rs. 49,720,000/-, which is not less than the fair market value of equity shares of AFL calculated as per provisions of Income Tax Act, 1961 including rules thereunder and amendment(s) thereto. Accordingly, AFHPL is holding 99.998% of AFL. As such AFL is subsidiary of AFHPL and continues to be a step down subsidiary instead of subsidiary of the Company.

Shares of Kirloskar Oil Engines Limited was last trading in BSE at Rs. 130.00 as compared to the previous close of Rs. 131.10. The total number of shares traded during the day was 17346 in over 478 trades.

The stock hit an intraday high of Rs. 134.75 and intraday low of 129.20. The net turnover during the day was Rs. 2283953.00.

Source : Equity Bulls

Keywords

KirloskarOilEngines INE146L01010 Investment ArkaFincap ArkaFinancialHoldings