Sona Koyo EGM to discuss issue of warrants, increase authorized capital

Sona Koyo Steering Systems Ltd has announced that an Extra Ordinary General Meeting (EGM) of the members of the Company will be held on November 22, 2006, inter alia, to transact the following:

1. Increase in the Authorised Share Capital of the Company from Rs 20,00,00,000/- divided into 10,00,00,000 numbers of equity shares of Rs 2/- each to Rs 25,00,00,000/- divided into 12,50,00,000 of equity shares of Rs 2/- each and consequential amendments in the Memorandum & Articles of Association of the Company.

2. To create, offer, issue and allot from time to time, in one or more tranches, by way of preferential allotment of 46,28,105 nos of equity shares of the face value of Rs 2/- per share ("the Equity Shares") at a premium of Rs 65.10 per equity share and upto 99,99,785 nos of Convertible Warrants of the face value of Rs 2/- per warrant ("Warrants"), at a premium of Rs 65.10 per warrant, which Warrants shall be convertible within a period of eighteen (18) months from the date of issue / allotment of the warrants ("the Conversion Period") into 99,99,785 fully paid up equity shares at a price of Rs 67.10 per share ("the Conversion Price") comprising of a nominal value / face value of Rs 2/- per Conversion Share and a premium of Rs 65.10/- per Conversion share determined in accordance with the provisions of the DIP Guidelines, in the following proportions and manner:

a. Dr Surinder Kapur and / or persons / bodies corporate controlled by Dr Kapur
- 40,23,122 equity share
- 79,89,828 warrants

b. JTEKT Corporation, Japan
- 6,04,983 equity share
- 20,09,957 warrants

Source : Equity Bulls

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