Mirc Electronics to raise ` 1.44 billion from marquee investors
Mirc Electronics, which owns the Onida brand, plans to raise an equity investment of
` 1.44 billion from marquee investors to meet its long-term working capital and corporate requirements.
The board has approved the issue of 19.2 million equity shares and 19.2 million warrants, convertible into equity shares on a preferential basis at an issue price of
` 37.53 to its several nonpromoters to augment its long-term working capital and corporate requirements, a company statement said.
According to the media statement, the issue price has been determined in accordance with SEBI regulations, 2009. This would result in an infusion of ` 1.44 billion worth of equity into the company. 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, sources at Mirc Electronics have 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 Mirc Electronics managing director Vijay Mansukhani.
The board convened an extraordinary general meeting (EGM) of the shareholders on December 27 to get their approval for the issue of shares and warrants.