DCM Shriram Industries to issue 7 Lakh warrants on preferential basis

DCM Shriram Industries Ltd has announced that the Board of Directors of the Company at its meeting held on October 16, 2007, has approved, subject to the approval of the shareholders under Section 81(1A) of the Companies Act, 1956 and Chapter XIII of the SEBI (Disclosure and Investor Protection) Guidelines, 2000, issue of 7 lac Warrants on Preferential basis to the Promoters / Promoter group. Each Warrant will carry a Right to apply / subscribe to three equity shares of Rs 10 each, at a price not less than the price arrived at as per the said Guidelines, in three tranches within of a period of 18 months from the date of allotment of the Warrants. The funds raised through the issue will be used for augmenting the long term working capital of the Company.

With a view to have wider participation of the shareholders the approval under Section 81(1A) by Special Resolution is being sought through Postal Ballot as per Section 192A of the Companies Act, 1956.

The stock was trading at Rs.48.20, up by Rs.0.20 or 0.42%. The stock hit an intraday high of Rs.49.55 and low of Rs.46.30.

The total traded quantity was 17286 compared to 2 week average of 11981.

Source : Equity Bulls

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