Chennai-based edtech company Veranda Learning Solutions announced that its Board of Directors has approved fundraising of ₹300 crore through a preferential issue at a meeting held on Wednesday.
The fundraising is subject to the approval of shareholders at the ensuing EGM on October 6 and it will include an investment of ₹61.40 crore to be subscribed by the promoters in the form of convertible warrants, it added.
In a press release, the company said that the fundraising will be through a mix of preferential offers of equity shares and convertible warrants both at a price of ₹307 per share.
Each warrant is convertible into one equity share and the conversion can be exercised at any time within a period of 18 months from the date of allotment. About 25 per cent of the total consideration for convertible warrants will be payable at the time of application.
In May, the company’s shareholders approved a debt fundraising of up to ₹1,000 crore through the issuance of NCDs/Bonds. Veranda Learning said both the debt and equity fundraising would be used to fuel organic growth through acquisitions.
“We are pleased with the response to the private placement and the success of the fundraise places Veranda in a unique position with the necessary war chest to fuel the next leg of growth,” said Kalpathi S Suresh, Chairman and Executive Director, Veranda Learning Solutions.
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