Shriram City Union to issue shares on preferential basis

Shriram City Union Finance Ltd has announced that the Board of Directors of the Company at its meeting held on November 20, 2006, subject to the approval of shareholders, has approved issue of

1. a) upto 40,00,000 Equity Shares of Rs 10/- each to Indopark Holdings Ltd

b) upto 40,00,000 Equity Shares of Rs 10/- each to Van Gogh Ltd

c) upto 40,00,000 Equity Shares of Rs 10/- each to CPIM Funds

2. The Board at the said meeting has also, subject to approval of shareholders, approved the issue of upto 35,00,000 warrants to Shriram Enterprise Holdings Pvt Ltd, each warrant convertible at the option of the holder into one Equity Share of Rs 10 each within 18 months from the date of their allotment.

The said issues would be for cash on Preferential basis at a price not less than Rs 151.23 per share (including a premium of Rs 141.23 per share) which is the price determined in accordance with the SEBI (Disclosure and Investor Protection) Guidelines, 2002 on Preferential Issues.

It was decided to convene an Extraordinary General Meeting to obtain the approval of Shareholders with regard to the above on December 18, 2006.

Source : Equity Bulls

Keywords