Flawless Diamond EGM approves issue of shares to Bennet, Coleman & Co

Flawless Diamond India Ltd has announced that the members at the Extra-Ordinary General Meeting (EGM) of the Company held on May 03, 2007, inter alia, have approved the allotment of 588000 Equity Share of Rs 10/- each at a price of Rs 85/- per share to Bennett, Coleman & Co Ltd (BCCL), total amounting to Rs 499.80 Lac.

The EGM has given approval u/s 293 (1) (d) of the Companies Act, 1956 to borrow up to 125 crores over and above the aggregate of paid up capital and free reserves of the Company.

Mr. Kamal U Jain informed the member about the Company's future plans. He informed the member that the Company has formulated plan of enhancing capacity, brand building exercise and spreading its geographical presence. The Bennett, Coleman & Co Ltd has picked up the 9.22% equity stake in the Company and became partner in the business and prosperity of the Company. The association of BCCL will help the Company in brand building, product publicity which will lead to sales and revenue of the Company. He informed the member that the FDIL is in unique position with its own design studio. The design bank has substantial number of design for current and immediate future needs.

The Company venture into retail Jewellery has started giving dividend with the opening of few more Aum galleria and franchise all over the country and will signify its presence in the Jewellery sector. The funds required will be augmented through debts and internal accruals.

Source : Equity Bulls

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