The Hindu Business Line : Sirpur allots shares under abeyance to `rights' holders

THE rights issue committee of Sirpur Paper Mills Ltd that met on Wednesday has decided to allot 32,789 ordinary shares that were kept under abeyance as per the instructions of the National Securities Depository Ltd (NSDL).

These shares of Rs 10 each were allotted to 13 applicants at the same premium of Rs 80 per share in terms of the right issue of March last year.

In the absence of information on confirmed beneficiaries for 32,789 shares during the rights issue last year, the company was advised by the NSDL to keep them in abeyance. The company could not identify the beneficiaries for these shares as they were lying in the Clearing Member accounts of NSDL as on the record date for company's rights issue on March 4 last year, Mr Shyamsundar, Secretarial Officer, told Business Line.

The NSDL vide letter dated September 29 last year had provided the details of the beneficiaries to the company and cleared the decks for offer and allotment of shares under abeyance to the beneficial holders as on the record date, he said.

A total of 13 applicants have since been identified as eligible to receive these shares. The company had gone in for issue and offer of 66,72,536 ordinary shares of Rs 10 each to the existing shareholders on rights basis in the ratio of 4:5 (four shares for every five shares held) as on the record date at a premium of Rs 80 per share.