IOL Broadband to increase authorized share capital, increase FII limit to 49%

IOL Broadband Ltd has announced that the Board of Directors of the Company at its meeting held on November 09, 2006 has decided the following:

1. To increase the authorised share capital from Rs 50 crores to Rs 70 crores divided into 7 crore equity shares of Rs 10 each.

2. To increase the limit for Foreign Institutional Investors to 49% of the paid up equity share capital of the Company.

3. To make a preferential allotment of 5,00,000 equity shares of Rs 10/- each to Bennett Coleman & Co. Ltd (non-promoters) under sec 81(1A) of the Companies Act, 1956 in terms of the regulations / rules / guidelines issued by the Securities and Exchange Board of India (SEBI), and other provisions of the law at a price not below the price specified in Chapter XIII of SEBI (DIP) Guidelines 2000.

4. To make a preferential allotment of 7,00,000 warrants to Maula Trading Company Pvt Ltd, Mumbai carrying an entitlement to apply for equivalent number of equity shares of Rs 10/- each at a price not below the price specified in SEBI (DIP) Guidelines, 2000 and other provisions of law.

An Extra Ordinary General Meeting will be convened shortly to seek approval of the members for all items mentioned above.

Source : Equity Bulls

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