CG Power seeks shareholders nod for preferential allotment of shares to SCB

0

NEW DELHI: CG Power and Industrial Solutions on Friday said it will seek shareholder approval to allot 1.38 crore shares for Rs 101.20 crore to Standard Chartered Bank on a preferential basis to settle liability in an extra-ordinary general meeting on June 7.

Earlier this week on Tuesday, the board of directors of the company had approved the proposal for the issuance and allotment of 1,38,45,000 shares of the company of face value of Rs 2 each on a preferential basis at a price of Rs 73.10, including a premium of Rs 71.10 per equity share, aggregating to Rs 1,01,20,69,500 for consideration other than cash.

The proposal is listed on the agenda of the EGM scheduled on June 7, 2021, a BSE filing stated.

Loading...

After this translation, the shareholding of the promoter and promoter group will come down to 52.68 per cent from 53.22 per cent (as of May 7, 2021). Post issue, the SCB shareholding would be 1.02 per cent in the company against nil at present.

The allotment of shares is for settlement of liability of the company under the guarantee issued by it pursuant to the terms under the Guarantee Settlement Agreement to Standard Chartered Bank (Singapore) Ltd (SCB), subject to the approval of the shareholders, the filing said.

The CG Power had entered into an agreement in January 2018 under which it had guaranteed the payment/repayment obligations of CG International Holding Singapore Pte Ltd, a wholly-owned subsidiary of the company, under the credit facilities aggregating to 44 million euros availed by CG Singapore from SCB.

Loading...

The outstanding obligations of the company towards SCB under the guarantee agreement and other guarantee documents were agreed to be settled pursuant to an agreement dated November 13, 2020.

As per the guarantee agreement, the company was required to pay 3,664,682 euros to SCB; and issue and allot 1,38,45,000 equity shares of the company to SCB, a qualified institutional buyer.

Stay connected with us on social media platform for instant update click here to join our  Twitter, & Facebook

Loading...

We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.

For all the latest Education News Click Here 

 For the latest news and updates, follow us on Google News

Loading...

Read original article here

Denial of responsibility! TechiLive.in is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.

Leave a comment