Asian Energy Services Ltd to raise up to ~Rs 160 Crores Via Preferential Issue of Warrants

Asian Energy Services Limited, specialising in servicing the energy and mining sector, has announced that its Board of Directors, in its meeting held on 27th August 2024 in accordance with Chapter V of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended, and other applicable laws, approved the issuance of issuance of 48,00,000 fully convertible warrants for cash at an issue price of Rs. 335/- per warrant with a right to the warrant holders to apply for and be allotted 1 fully paid-up Equity Share of face value of Rs. 10/- each of the Company within a period of 18 months from the date of allotment of the warrants aggregating to Rs. 160.8 crores.

Total shares outstanding (fully diluted) post conversion of 33,50,000 warrants held by promoter and issuance of 48,00,000 convertible warrants will aggregate to 4,95,74,444 equity shares. Post issuance of warrants, the Promoter & Promoter Group holding will stand at 55.07% (fully diluted).

The proposed issue will bring on board large HNIs and family offices. The proceeds from this issuance, if approved, will bolster the Company's financial standing and enhance its flexibility to pursue medium-to-long term growth opportunities. The Company proposes to utilize the net proceeds for exploring growth opportunities, working capital requirement, general corporate purposes.

Commenting on this, Mr Kapil Garg, Managing Director, Asian Energy Services Limited said, "The funds we raised will ensure we remain well-capitalized as we pursue new opportunities in operations and maintenance for the oil & gas sectors, as well as in CHP projects and the minerals sector. This capital infusion not only strengthens our financial position but also equips us to continue our growth trajectory, allowing us to expand both organically and through strategic acquisitions. With this robust financial backing, we are poised to enhance our market presence and drive long-term success across all facets of our business."

Shares of Asian Energy Services Ltd was last trading in BSE at Rs. 432.05 as compared to the previous close of Rs. 423.20. The total number of shares traded during the day was 192825 in over 3425 trades.

The stock hit an intraday high of Rs. 444.35 and intraday low of 403.05. The net turnover during the day was Rs. 84069129.00.

Source : Equity Bulls

Keywords

AsianEnergyServices INE276G01015 FundRaising ConvertibleWarrants