Mahindra and Mahindra Ltd invests in rights issue of Mahindra Electric Automobile Ltd

Mahindra & Mahindra Ltd has today at 8.50 p.m. approved investment in the Equity Shares of Mahindra Electric Automobile Limited (MEAL), up to an amount not exceeding Rs. 630 Crores by way of subscription to Rights Issue of Equity Shares of MEAL of Rs. 10 each at a premium of Rs. 4.50 per share. The proceeds shall be utilized by MEAL to meet its fund requirement for business operations.

The Networth of MEAL as on 31st March, 2023 stood at Rs. 1,468.93 crores.

The Company currently holds 99.99% of the paid up equity share capital of MEAL. The said investment will not cause any change in the percentage of the Equity Shareholding of the Company in MEAL and it will continue to be Subsidiary of the Company.

MEAL will be mainly engaged to carry on, directly or indirectly, the business of designing, developing, manufacturing, fabricating, assembling, selling, buying, re-selling, importing, servicing, exporting, supplying, trading, altering, marketing, acting as stockists, dealers, distributors, let on hire, buy or sell on hire-purchase or instalment system of, and all kinds of services related thereto or otherwise dealing in any manner with 4-wheel passenger electric vehicles (incl. parts) of all kinds and description.

Shares of Mahindra & Mahindra Limited was last trading in BSE at Rs. 1629.80 as compared to the previous close of Rs. 1631.25. The total number of shares traded during the day was 116595 in over 3511 trades.

The stock hit an intraday high of Rs. 1650.65 and intraday low of 1625.80. The net turnover during the day was Rs. 190400568.00.

Source : Equity Bulls

Keywords

MahindraandMahindra INE101A01026 Investment RightsIssue MahindraElectricAutomobile