The board of directors of Gati Limited have approved the amendment of Clause (V) of the Capital Clause of the Memorandum of Association of the company, the logistics company informed the stock exchanges.
The board approved the amendment of the capital clause by way of cancellation and re-classification of unissued 5,00,000 Preference Shares of ₹100 each aggregating ₹5 crore into 2.5 crore equity shares of ₹2 each aggregating ₹5 crore, and increasing it by way of addition of 2.5 crore equity shares of ₹2 each aggregating ₹5 crore.
The existing authorised share capital of the company is ₹30 crore comprising 12.5 crore equity shares of face value of ₹2 each and 5 lakh preference shares of ₹100 each.
Further, after considering the aforesaid alteration, the new capital clause of the Memorandum of Association of the company will read as: “The Authorised Share Capital of the Company is ₹35 crore divided into 17.5 crore equity shares of ₹2 each.” This change in MoA is subject to the approval of the shareholders.