L Capital Eco to invest in PVR

The Board of Directors of PVR Ltd at its meeting held on August 01, 2012, have approved issue of 28,85,000 Equity Shares of face value of Rs. 10 each at a Premium of Rs. 190/- per share of aggregating to Rs. 57.70 Crores or at price to be determined as per SEBI (ICDR) Regulations, 2009 whichever is higher, to L Capital Eco a Company incorporated in Mauritius subject to the approval by the members of Company. The funds raised by issue of Shares on Preferential basis shall be used for expansion plan of the Company,

In addition to the above, L Capital Eco will invest an amount of approximately Rs. 50.09 Crores into PVR Leisure Limited, (a subsidiary Company of PVR Limited), to acquire Share Capital of PVR Leisure Limited.

PVR Leisure Limited will invest in mall entertainment, gaming, food and leisure formats. Further, as part of its overall group restructuring. PVR Limited existing investment in PVR bluO Entertainment Limited will now be held through PVR Leisure Limited. the above investment is subject to FIPB and other approvals.

The PVR Ltd stock closed the day at Rs.185.40, up by Rs.20.75 or 12.60%. The stock hit an intraday high of Rs.195.90 and low of Rs.163.

The total traded quantity was 4.24 lakhs compared to 2 week average of 0.54 lakhs.

Source : Equity Bulls

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