Mirc Electronics to raise ₹144 crore from marquee investors

Mirc Electronics Ltd, which owns the Onida brand, on Sunday said its board has approved raising of equity investment of ₹144.12 crore from marquee investors to meet its long-term working capital and corporate requirements.

The board has approved issue of 1.92 crore equity shares and 1.92 crore warrants convertible into equity shares on preferential basis at issue price of ₹37.53 to its several non-promoters to augment its long-term working capital and corporate requirements, a company statement said here.

The issue price has been determined in accordance with the provisions of SEBI regulations, 2009. This would result in infusion of ₹144.12 crore worth of equity into the company, the statement said.

Every warrant is entitled to receive one equity share at the time of conversion within a period of 18 months from the date of issue of warrants, the electronics and consumer durables company said.

“This reiterates the faith of the investors in the growth prospects of the company. This infusion of equity into the company at this juncture would definitely strengthen our position and improve our aggression in the market,” said Vijay Mansukhani, MD, Mirc Electronics.

The board has convened an extraordinary general meeting (EGM) of the shareholders on December 27 for getting their approval for the issue of shares and warrants.

Mirc Electronics reported net profit of ₹12.04 crore in Q2 September 2017 compared with net loss of ₹9.92 crore in the same period of last fiscal.

Revenue from operations rose 29 per cent to ₹201.09 crore over Q2 September 2016.

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