The BK Birla Group company Kesoram Industries Ltd (KIL) on Thursday said that its rights issue was oversubscribed by 26 per cent.
The company’s board in September approved rights issue for ₹400 crore.
The board on Thursday approved the allotment of around 8 crore rights equity shares at ₹50 a share.
₹25 on application
At the time of application, ₹25 a share was paid by the eligible applicants and the remaining ₹25 a share would be payable at the time of first and final call which could be called anytime within six months from the date of allotment of these shares, it said. The company plans to use the proceeds from rights issue to reduce the high cost debt.
The shareholders would be entitled to 133 equity shares for every 274 equity shares held (1:2.06).
The company’s scrip closed at ₹67.25, up by 2.52 per cent on the BSE on Thursday.
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.