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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
The board of Hi-Klass Trading and Investment Ltd approved the allotment of 1,93,00,000 (1.93 crore) convertible warrants on a preferential/private placement basis at Rs. 25 per warrant, which includes a face value of Rs. 5 and a premium of Rs. 20. The warrants are being issued to 32 allottees, with the promoter entity Nico India Consultancy LLP receiving the largest chunk of 46.75 lakh warrants. An upfront 25% amount of about Rs. 12.06 crore has already been collected from allottees, with the remaining 75% payable within 18 months when warrants are converted into equity shares. On full conversion, the promoter group's stake in the company will rise from 17.50% to 21.37%, while several non-promoter allottees will become new shareholders in the company.
This is a dilution event for existing shareholders if all warrants are converted into equity shares over the next 18 months. The fact that the promoter group is putting in additional money signals some level of confidence in the company, but retail investors should note the share count will expand significantly.