Kesoram scraps preferential allotment, plans rights issue

The decision was taken in deference to the views and intent expressed by a cross section of shareholders

Kesoram Industries, a B K Birla group company, has cancelled a preferential issue and is opting for a rights issue “in deference” to the “views and intent” expressed by a cross section of shareholders.

The company informed the stock exchanges on Wednesday that the Fund Raising Committee of the board of directors of Kesoram at its meeting held today deliberated on various options to increase the size of equity raising in line with the long term objective of reducing debt and to give equal opportunity to all shareholders to participate in equity raising plan of the company.

The company said that the