Jain Studios to issue shares on preferential basis to Ankur Services and Growth Fund Ltd

Jain Studios Ltd has announced that the Board of Directors of the Company at its meeting held on April 30, 2007, inter alia, has taken following decisions:

1. The Board decided that the share warrants application money amounting to Rs 1.8 crores, be forfeited and transferred to capital reserves of the Company.

2. Board decided to raise the authorized equity share capital of the Company from Rs 20.5 crores to Rs 30.5 crores subject to approval of shareholders. The Board also recommended passing necessary resolutions and amending the Memorandum and Articles of Associations of the Company.

3. The Board noted the terms of settlement with IDBI / SASF for the full and final Payment of their debt, as reported by the Managing Director. Board further complimented and approved the "Debt swap with equity agreement" with Ankur Services and Growth Fund Ltd (ASGFL) as this will insure the repayment to IDBI / SASF and thus unleashed the locked potential of the Company.

4. The Board approved the decision of issuing 1,15,94,203 equity shares on preferential basis to ASFGL as per provisions of the Companies Act 1956, Sebi Guidelines.

5. Board decided to convene the Extraordinary General Body meeting of the shareholders on May 25, 2007 to approve the resolutions passed by the Board; the Board also approved the notice and the explanatory statement of EGM.

Source : Equity Bulls

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