S.Kumars Nationwide to issue FCDs

S.Kumars Nationwide Ltd has announced that the Board of Directors of the Company, at its Meeting held on December 30, 2006, has approved the following:

1. Issue of upto 1,31,22,400 Fully Convertible Debentures convertible into an equivalent number of Equity Shares of Rs 10/- each at a price not lower than the price as determined under the provisions of Chapter XIII (Guidelines for Preferential issues) of the SEBI Guidelines, to the Promoter group, on the following terms and conditions:

a. At any time on or before the expiry of 18 months from the date of allotment, the FCDs shall be compulsorily converted, in one or more tranches, into an equivalent number of Equity Shares of Rs 10/- at a price as determined above.

b. The FCDs and the Equity Shares arising on conversion of the FCDs shall be subject to a lock-in as determined under the provisions of Chapter XIII (Guidelines for Preferential Issues) of the SEBI Guidelines.

2. The issue of the FCDs as well as the Equity Shares, arising as a consequence of conversion of the FCDs in the manner aforesaid shall be governed by the respective provisions of the Companies Act, 1956, the Memorandum & Articles of Association of the Company and also the provisions of Chapter XIII of the SEBI Guidelines, 2000, as amended from time to time, or the provisions of any guidelines issued by any other authority as the case may be, or any modifications thereof.

Source : Equity Bulls

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