Varun Industries allots 70 lakh warrants

Varun Industries Ltd has announced that the Board of Directors of the Company at its meeting held on August 27, 2009, have allotted 41,40,803 and 28,59,197 warrants to Shri Kiran N Mehta and Shri Kailash S Agarwal, respectively, pursuant to the approval accorded by the members of the Company at their Extra Ordinary General meeting held on August 05, 2009 and the in-principle approval received from the regulatory authorities vide letter dated August 12, 2009. Each warrant of Rs 43.20 will entitle the warrant-holder an option to convert the warrants into equal number of equity shares of the face value of Rs 10/- each. The option can be exercised by the warrant holders within a period of 18 months. The conversion price of Rs 43.20 per warrant has been computed in accordance with the SEBI Preferential Issue Guidelines. The warrant holders have paid 25% of the conversion price as advance subscription money.

The stock was trading at Rs.164.35, up by Rs.7.80 or 4.98%. The stock hit an intraday high of Rs.164.35 and low of Rs.164.35.

The total traded quantity was 77626 compared to 2 week average of 250534.

Source : Equity Bulls

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