Announced Fri, 12 Sept · 19:55 IST

Intimation of In-principle approval received for issue of 70,00,000 convertible warrants through preferential basis.

Warrants ConvertedFund Raising View source PDF

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Darjeeling Ropeway Company Limited (BSE code: 539770) has received in-principle approval from BSE to issue 70 lakh (7,000,000) warrants convertible into equity shares on a preferential basis to non-promoters. Each warrant will be convertible into one equity share of Rs. 10 face value at a price of not less than Rs. 16.80 per share, implying a potential fund raise of around Rs. 11.76 crore if all warrants are exercised. This is only the exchange's preliminary approval — the company must still complete the allotment and separately apply for listing of the resulting equity shares.

Likely market impact

The issue will dilute existing shareholders once the warrants are converted into equity shares. On the positive side, the company is raising fresh capital, though no specific deployment plan (debt reduction, expansion, etc.) has been disclosed in this filing.