Rama Steel Tubes Limited has informed the Exchange about the Allotment of Equity Shares on a Preferential basis for consideration other than cash
RAMASTEEL · price
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Awaiting price reaction for this filing.
Rama Steel Tubes Limited has allotted 40,32,126 equity shares to Mr. Vinit Bharat Shah (Non-Promoter) on a preferential basis for consideration other than cash. The shares carry a face value of Rs. 1 each and were issued at Rs. 14 per share, including a premium of Rs. 13 per share. After the allotment, the allottee will hold 0.26% of the company's expanded equity share capital. The allotment was cleared by the Acquisition and Allotment Committee on April 29, 2025, following shareholder approval at the EGM on January 4, 2025, and in-principle approvals from BSE and NSE received in April 2025.
Since the consideration is non-cash (likely tied to an acquisition or service), the transaction causes a minor 0.26% dilution for existing shareholders. The Rs. 13 premium over face value is healthy, but the small size of the issue means the stock price impact is likely negligible.