Mumbai, June 21
Kinetic Motor Co said it plans to issue bonds to Citicorp Finance to raise Rs 94 crore.
The company would issue 80 lakh 9.5 per cent secured redeemable non-convertible debentures; 21.5 lakh secured redeemable fully-convertible debentures; and 15 lakh warrants convertible into equity shares within 18 months from issue to Citicorp Finance (India) Ltd.
At present, Citicorp does not hold any shares of Kinetic Motor. "The objects of the issue is to meet the company's capital expenditure requirements enabling it to expand its two wheeler business and meeting the long term working capital requirements," it said in a notice to BSE. It has decided to hold an extra ordinary general meeting of its shareholders on July 19. Shares of Kinetic Motor moved up by 4.92 per cent to Rs 46.90 on BSE.