Godrej Consumer Products to issue shares to Temasek arm

The Board of Directors of Godrej Consumer Products Ltd at its meeting held on January 21, 2012, decided to seek the approval of the shareholders of the Company pursuant to the provisions of Section 81(1 A) of the Companies Act, 1956 and other applicable legal provisions for issue and allotment of 16,707,317 equity shares of Re. 1 each of the Company to Baytree Investments (Mauritius) Pte Ltd, at a premium of Rs. 409 per equity share for an aggregate issue size of Rs. 685 crore on preferential allotment basis pursuant to Chapter VII of SEBI ICDR Regulations. The Company has received a binding offer from Baytree Investments (Mauritius) Pte Ltd and has accepted the offer. The investment is subject to customary conditions including signing of a share subscription agreement, shareholders' approval etc.

Baytree Investments (Mauritius) Pte Ltd is an indirect wholly-owned subsidiary of Temasek, an Asia investment company incorporated in 1974. Temasek is headquartered in Singapore and supported by 12 affiliates and offices in Asia and Latin America.

The Godrej Consumer Products Ltd stock closed the day at Rs.401.70, up by Rs.2.85 or 0.71%. The stock hit an intraday high of Rs.406.95 and low of Rs.400.

The total traded quantity was 3748 compared to 2 week average of 3954.

Source : Equity Bulls

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