The Board in its meeting held today considered and approved the allotment of 22,94,965 Equity Shares of Rs. 10/- each at a price not less than 29/-
Price
▲ 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 Ind Agiv Commerce Ltd approved the allotment of 22,94,965 equity shares of Rs. 10 each at a price of Rs. 29 (including Rs. 19 premium) on a preferential basis. Of these, 21,94,965 shares were issued to promoters and non-promoters against conversion of loans worth Rs. 6.36 crore, while 1,00,000 fresh shares were allotted to a non-promoter for Rs. 29 lakh in cash. Another 7,05,000 shares offered to two non-promoters were not allotted as they failed to pay the subscription money of Rs. 2.04 crore, which will remain as unpaid amount on the balance sheet. Post-allotment, the paid-up equity capital rises to Rs. 3.29 crore comprising 32,94,965 shares.
The allotment is largely through debt-to-equity conversion, which reduces the company's liabilities but also dilutes existing shareholders. The failure of two allottees to pay Rs. 2.04 crore is a negative signal about investor commitment. Existing shareholders will see their stake reduced as the share count expands significantly.