The Hindu Business Line : Country Club plans raising $130 m

Hyderabad, Aug. 31 Country Club India Ltd plans to raise up to $130 million through financial instruments like ADRs/GDRs/FCCBs/QIPs or other securities.

The board, which met on August 30-31, has okayed the proposal along with several others. It has also recommended a final dividend of 20 per cent on the equity shares of the company for the fiscal ended March 31, 2007.

Country Club informed the BSE that the board also approved issue of 6 lakh warrants to the promoter and outsiders — Mr Y. Rajeev Reddy (promoter) - 3 lakh and the balance to Maplenet Technologies Pvt Ltd, Vansh Value Realty Pvt Ltd and Dimensional Properties Pvt Ltd each one lakh.

The company is also considering the issue of equity shares to Bennett Coleman & Co Ltd on preferential allotment basis up to Rs 7.5 crore.

Nod for acquisitions

The BSE notice also said that the board has approved the acquisition of various properties at Pune, Ahmedabad, Calcutta, Kochi and New Delhi for the purpose of setting up clubs.

These acquisitions will be done by outright purchase or acquisition of 100 per cent equity shares of the companies, where the properties are owned by such companies.

Merger talks

Further the company has informed that the board discussed at length to consolidate the properties, companies and operations across various clubs to enhance synergy and achieve economies of scale on a long-term perspective.

It also in-principle agreed to identify and merge the properties, companies and operations.