Himachal Futuristic Communications to allot shares to ARCIL

Himachal Futuristic Communications Ltd has announced that the Company had availed a term loan of Rs. 200,00,00,000 (Rupees Two Hundred Crore only) ("Loan") from ICICI Ltd ("ICICI") pursuant to a Facility Agreement executed between the Company and ICICI on March 05, 2001 ("Facility Agreement"). The said agreement along with Loan and related rights have been assigned by ICICI to the Asset Reconstruction Company (India) Ltd. ("ARCIL"). Pursuant to assignment of the Loan, all rights of the ICICI including the conversion right now stand vested in ARCIL. In terms of the Facility Agreement, ARCIL has the option to convert the whole or the part of the outstanding amount of the Loan into fully paid-up equity shares of the Company at par.

ARCIL has, vide its letter dated February 08, 2010 ("Sanction Letter"), (i) invoked its aforesaid conversion option for part of the Loan; and (ii) agreed to settle the entire outstanding debts of the Company in connection with the Loan as per terms and conditions of the Sanction Letter. The Sanction Letter, inter alia, also envisages part conversion of the Loan by issuance and allotment of 2,00,00,000 (Two Crore) equity shares of the Company ("Shares") of Rs. 10/- (Rupees Ten only) each, at par, to ARCIL on a Preferential allotment basis.

Pursuant to receipt of the 'in-principle' approvals from the Stock Exchanges, the Board of Directors of the Company have, at its meeting held on March 26, 2010 issued and allotted 2,00,00,000 (Two Crores) fully paid up equity shares of the Company of Rs. 10/- (Rupees Ten only) each to ARCIL, on account of conversion of a part of the Loan (to the tune of Rs. 20,00,00,000 (Rupees Twenty Crores only).

The stock was trading at Rs.11.95, down by Rs.0.04 or 0.33%. The stock hit an intraday high of Rs.12.15 and low of Rs.11.90.

The total traded quantity was 252143 compared to 2 week average of 734898.

Source : Equity Bulls

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