• search

Aditya Birla Nuvo to raise Rs 780 cr via rights issue to repay debts

Written by: Staff
|

Mumbai, Sept 11 (UNI) The board of Aditya Birla Nuvo Ltd has decided to raise funds not exceeding Rs 780 crore through the issue of equity shares on a rights basis to repay its debt and for general corporate purposes.

Announcing this, the Company's release to BSE said the decision on the rights issue was made at the Board meeting on September 11, while the share ratio and price per share for the rights issue would be decided by it at a later date, subject to necessary approvals.

It may be noted that the Aditya Birla Group company has made substantial investments in Idea Cellular, TransWorks and Birla Sun Life Insurance besides its ongoing capital expenditure. The proposed capital issue will strengthen the capital structure of the company.

Commenting, its Chairman Kumar Mangalam Birla said, ''Aditya Birla Nuvo stands at the threshold of its next phase of growth. The promoters are fully committed to this offer.'' In this context, Mr Sanjeev Aga, Managing Director, of the company said ''The proposed rights offering will improve the gearing on the Balance Sheet, besides providing another opportunity to the existing shareholders to participate in the company.'' Enam Financial Consultants and DSP Merrill Lynch have been appointed as managers to the proposed issue and Amarchand&Mangaldas&Suresh A Shroff&Co as legal advisors to the company.

UNI SN KU VKG1618

For Daily Alerts
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Oneindia sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Oneindia website. However, you can change your cookie settings at any time. Learn more