Intimation of outcome of Board meeting for approval of issue of compulsory convertible debenture as per resolution plan approved by Hon''ble National Company Law Tribunal, Chandigarh Bench.
Awaiting price reaction for this filing.
S R Industries Limited (BSE: 513515, SRIND), which was rehabilitated from the Corporate Insolvency Resolution Process, has informed BSE that its board approved the issuance of up to 1,65,00,000 unlisted, unrated 0.01% Compulsorily Convertible Debentures (CCDs) of face value Rs. 10 each to Bazel International Limited (BIL), aggregating up to Rs. 16.5 crore, in one or more tranches. The CCDs are issued at par and will convert into equity shares at Rs. 10 per share within 18 months of allotment. BIL is the successful resolution applicant approved by NCLT Chandigarh Bench, and this issuance is part of the approved resolution plan to meet working capital needs. Post allotment, BIL's holding will rise from 50.10% (98.56 lakh shares) to 72.86% (263.56 lakh shares), though shareholding is subject to realignment to meet minimum public shareholding norms.
Existing public shareholders will see further dilution as BIL's stake moves from 50.10% to 72.86%, with conversion of CCDs likely adding more equity later. The 0.01% coupon signals this is structured more as quasi-equity funding from the resolution applicant rather than a market-driven debt instrument.