GMR Infra to raise Rs 1,400 cr via rights issue

GMR Infrastructure Ltd plans to raise Rs 1,400 crore through issue of equity shares on a rights basis.

The company in a regulatory filing has informed BSE that the board of directors on February 28 had finalised the terms and conditions of the issue of equity shares having face value of Re 1 each on a rights basis to its existing shareholders as on the record date.

The issue would seek to mobilise Rs 1,401.83 crore consisting of 93,45,53,010 fully paid up equity shares of face value of Re 1 each. The equity shares are being offered on a rights basis to the eligible equity shareholders in the ratio of 3 equity share(s) for every 14 equity share(s) held on the record date.

The issue price has been fixed at Rs 15 per equity share, including a premium of Rs 14 per equity share.

If the shareholding of any of the eligible equity shareholders is less than 14 equity shares or not in the multiple of 14, then the fractional entitlement of such eligible equity shareholders shall be ignored in the computation of the rights entitlement.

However, eligible equity shareholders, whose fractional entitlements are being ignored, would be given preferential consideration for the allotment of one additional equity share each if they apply for additional equity shares over and above their rights entitlement, if any.

Those eligible equity shareholders holding less than 5 equity shares and therefore entitled to 'zero' equity shares under the rights issue shall be despatched a composite allocation form (CAF) with 'zero' entitlement.

Such shareholders are entitled to apply for additional equity shares and would be given preference in the allotment of one additional equity share each if they apply for additional equity shares.

However, they cannot renounce the same in favour of third parties composite allocation forms with zero entitlement will be non-negotiable/non-renounceable.

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