Godawari Power Board declares 10% interim dividend

Godawari Power & Ispat Ltd has announced that the Board of Directors of the Company at its meeting held on March 02, 2007, inter alia, has approved the following proposals:

1. Payment of Interim Dividend on Equity Shares of the Company @ 10% i.e. Re 1/- per share for the year 2006-07.

2. Acquisition of 11,32,750 equity shares, being 48.56% of equity share capital of M/s. R R Ispat Ltd, a closely held Subsidiary Company in which the Company is presently holding 51.44% equity stake. The acquisition price has been fixed at Rs 98/- per share as per valuation carried-out by the Statutory Auditors of the Company viz., M/s. O P Singhania & Company, Chartered Accountants. The total cost of acquisition is Rs 11.10 crores.

M/s. R R Ispat Ltd is engaged in manufacturing of steel wire rods (rolled products) and mild steel wires having manufacturing capacity of 1,00,000 MTs and 30,000 MTs respectively. The operations of M/s. R R Ispat Ltd is critical in the entire value chain of GPIL's product portfolio. With the acquisition of 100% stake of M/s. R R Ispat Ltd., GPIL will be fully integrated Company having facilities for mining of Iron Ore and Coal and manufacturing of Sponge iron, Captive Power Generation, Steel Billets, rolled products (wire rods) and Wires.

Source : Equity Bulls

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