EIH completes Rs 1,178 cr rights issue

Hospitality firm EIH Ltd, that operates Oberoi hotels and resort, today said it has completed rights issue of over 17.86 crore equity shares to raise Rs 1,178.86 crore.

"EIH Ltd has  successfully completed its rights issue of 178,615,442 equity shares with a face value of Rs 2 each at a premium of Rs 64 per equity share (issue price Rs 66 per equity share) aggregating Rs 1,178.86 crore to the existing shareholders," EIH said in a statement.

The rights were offered to those shareholders whose names appeared in the books of the company as on February 22, 2011 in the ratio of five equity shares for every eleven shares held on the record date.

"Against applications from shareholders for allotment of 3.34 crore additional equity shares, a total of 1.09 crore equity shares have been allotted," the statement said.

The committee of the Board of directors met today to approve the allotment. Despatch of allotment advice, share certificates, dematerialised credit and refund of excess money are being processed.

"Steps are being taken to list the above equity shares on the Bombay Stock Exchange (BSE), the National Stock Exchange (NSE) and the Calcutta Stock Exchange (CSE)," it added.

Mukesh Ambani-led Reliance Industries and Max Group Chairman Analjit Singh that have stake in EIH have already confirmed that they have subscribed to the issue.