BCCL to up stake in Videocon, invest Rs 200 cr

Consumer electronics company Videocon Industries today said it will raise over Rs 200 crore through issue of warrants on preferential basis to media conglomerate Bennett, Coleman & Company (BCCL).

In a filing to the Bombay Stock Exchange Videocon Industries said the board has approved the issuance of over 1,17,65,000 crore warrants, which would be converted into equal number of equity shares, at a price of Rs 170 a piece, to BCCL.

Upon conversion, BCCL's holding in Videocon Industries would go up to 6.13 per cent. As of December quarter the media firm held 1.01 per cent in Videocon, as per BSE shareholding data.

The said warrants can be converted into equity shares within 18 months from the date of allotment, the filing added.

The board of the company has sought shareholders approval vide postal ballot, it said.

Shares of Videocon Industries surged 10.63 per cent in the intra-day trade to a high of Rs 103, and it was closed at Rs 101.50, up 9 per cent on the BSE