Kalpataru Power Transmission Ltd on Monday said its board has approved allotment of 12.54 lakh equity shares worth Rs 64.65 crore to Tano India Private Equity Fund II under a deal to acquire full stake in warehousing firm Shree Shubham Logistics.
The company in July had announced acquisition of Tano India Private Equity Fund II's (Tano) 19.94 per cent stake in Shree Shubham Logistics for Rs 64.65 crore in a share swap deal.
Kalpataru Power Transmission Ltd (KPTL) had agreed to issue 12.54 lakh shares to Tano for the latter's 1.46 crore shares in Shree Shubham Logistics.
KPTL in a filing to BSE said, "a meeting of the Allotment Committee of the Board of Directors ....was held on August 12, 2019 at which the Committee approved the allotment of 12,54,900 equity shares of the company of face value of Rs 2 each at a premium of Rs 513.25 per share, to Tano in consideration of 1,46,45,499 equity shares held by Tano in Shree Shubham Logistics."
The KPTL board had approved the deal on July 2, 2019, and the shareholders approved the issue of shares to Tano on July 30, 2019.
These shares have been allotted on a preferential basis to Tano.
KPTL already had 80.06 per cent stake in Shree Shubham. After the transaction, Shree Shubham will become a 100 per cent subsidiary of KPTL.
Shree Shubham Logistics was set up in 2007 to provide agriculture commodity warehousing solutions. The firm is operating and managing around 240 warehouses (owned and leased) with storage capacity of over 9 million square ft area across nine states in India.