JK Sugar to issue shares, CRPS

The Board of Directors of JK Sugar Ltd at its meeting held on February 22, 2012, had approved issue of 15,00,000 8% cumulative Redeemable Preference Shares of Rs. 90 each aggregating to Rs. 13.50 Crores (CRPS Series-A) to JK Tyre and industries Limited (JKTIL) for the purpose of redemption of existing preference shares aggregating to Rs.13.50 Crore held by JKTIL.

The Board approved issue of upto 1,85,338 8% cumulative Redeemable Preference Shares of Rs. 90 each of the aggregate value not to exceed Rs. 1.67 Crores (CRPS Series-B) to JK Tyre and Industries Limited.

The Board approved issue of upto 16,73,000 Equity Shares of Rs.10/- each of the Company for cash at a price of Rs. 16.03 per Equity Share i.e. at a premium of Rs. 6.03 per Equity Share, the aggregate value of the shares so issued not to exceed Rs. 2.69 Crores on Preferential basis to JK lyre and Industries Limited, and upto 28,51,000 Zero Coupon Fully convertible Redeemable Preference Shares of Rs. 10 each of the aggregate value not to exceed Rs. 2.86 Crores, convertible into 17,78,000 Equity Shares of Rs.10 each of the Company at a price of Rs. 16.03 (including a premium of Rs. 6.03) per Equity Share on Preferential basis to JK lyre and Industries Limited.

The above issue is subject to approval of the Shareholders at the Extra-ordinary General Meeting convened to be held on March 22, 2012 and all other requisite Authorities.

The JK Sugar Ltd stock was trading at Rs.14.85, down by Rs.1.20 or 7.48%. The stock hit an intraday high of Rs.14.85 and low of Rs.14.85.

The total traded quantity was 100 compared to 2 week average of 1395.

Source : Equity Bulls

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