Nandan Denim to issue Rs 50 cr convertible warrants

Nandan Denim today said it would issue convertible warrants worth Rs 50 crore to UK-based foreign institutional investor Polus Global Fund.
It would issue 25 lakh fully convertible warrants to Polus Global Fund, which would be converted into equity shares at Rs 200 per share within 18 months, said country's second largest integrated denim fabric maker in a statement.
"The conversion price of Rs 200 per share is at over 70 per cent premium to Friday, September 18 closing price of Rs 115.50 per share on BSE and 250 per cent premium to the book value of Rs 57 per share," Nandan Denim added.

The company would seek shareholders's approval for this at its upcoming Annual General Meeting (AGM) on September 29, 2015.
Polus Global Fund, at present, holds 1.35 lakh shares, which is 0.30 per cent stake.
However, post conversion it "will increase to 26.35 lakh shares or 5.48 per cent post conversion of the warrants into equity shares".
Nandan Denim shares were trading at Rs 130.90 on BSE at 14:45 hrs, up 13.33 per cent from previous close.