Hitachi Energy India to seek shareholders' nod to raise Rs 4,200 crore

Hitachi Energy India will seek shareholders' approval to raise Rs 4,200 crore through issues of equity shares or other securities.

In an exchange filing, the company said, the voting will start at 9 am on January 22 and continue till 5 pm on February 20.

As per the notice, it will seek approval to raise up to Rs 4,200 crore by way of public or private offering, including a qualified institutions placement (QIP), to eligible investors through an issuance of equity shares or other eligible securities.

The proceeds from the proposed issuance will be used towards meeting growth objectives, the filing said.

 

The company has been pursuing both organic and inorganic growth opportunities. Additionally, there is an ongoing requirement for working capital and capital expenditure (capex) for the upgrade and expansion of businesses and ongoing projects.

The generation of internal funds may not be sufficient to meet all the requirements of its growth plans, the company said.

Therefore, it is prudent to have the requisite enabling approvals in place to meet the funding requirements for the intended growth, it said.

Hitachi Energy India plans to utilise the proceeds for repayment or prepayment of debt or any servicing or any present/future indebtedness of the company as may be required from time to time.

Hitachi Energy India Ltd (formerly known as ABB Power Products and Systems India Ltd) is the Indian arm of Hitachi Energy -- a global leader in technology.