BCCL buys 40 lakh convertible warrants in Gujarat NRE

Bennett, Coleman & Company (BCCL), has subscribed 40,00,000 convertible warrants of Gujarat NRE Coke on May 15, 2009.

These warrants were allotted by the management committee of Board of Directors of BCCL last Friday on preferential/private placement basis in accordance with the approval accorded by its shareholders through postal ballot. These warrants carry an option to its holder to apply for and obtain  one equity share of the company in lieu of each warrant within a period of 18 months at a price of Rs 50 per equity share.

Gujarat NRE Coke is the largest independent producer of met coke in India having production capacity of over 1 million tonne (MT) and has undertaken plans to set up plants for producing 1.25 MT in Karnataka and Andhra Pradesh. It owns coking coal mines in Australia having more than 500 MT of metallurgical coal reserves.

Besides, the company has 87.5 Mw wind power energy and is in the process of setting up power plants for generation of 60 Mw through waste heat recovery process. It has also set up mini steel mill in Gujarat to recycle steel scraps using green wind energy to manufacture TMT Bars.