SPONSORED CONTENT

SVP Global to raise Rs 235 Cr via Equity Warrants, convertible at 37% premium to market price

January 28, 2021 23:30 IST | ANI Press Release

Mumbai (Maharashtra) [India], January 28 (ANI/PRNewswire): Pursuant to applicable provisions and regulations, SVP Global Ventures Ltd, one of the largest compact cotton yarn manufacturers in the world has announced it's intention to issue upto 2,23,80,952 Convertible Equity Warrants to it's parent company, Shri Vallabh Pittie Ventures Private Pvt Ltd. The aggregate value of the transaction will stand at Rs 235 Crs for cash and the allotment of warrants will be completed within 15-day period from the date of shareholders approval.

The Warrant holder has the option to convert Equity warrants into equivalent number of fully paid up equity shares of face value of Rs 1/- each, in one or more tranches within 18 months from the date of allotment of warrant, at an issue price of Rs 105/- per Equity Share and is subject to interim adjustments by way of capitalisation of profits or reserves demerger, rights issue or any consolidation/reclassification activities.

On the announcement of the Preferential Issue of Equity Warrants, Chirag Pittie, Director, SVP Global Ventures Ltd. stated "The Issue of Equity warrants and its conversion at 37 per cent premium over current market price would help in strengthening the capital structure of the company. The company is committed to deliver long-term sustainable growth to its stakeholders by continuous reduction in overall debt and expansion in high-margin compact yarn business."

As on date, the Pre Issue Shareholding of the Promoter and Non Promoter stood at 68.71 per cent and 31.29 per cent respectively. Post issue the promoter and promoter group shareholding will be 73.41 per cent. The stock opened at Rs 79.85 and closed at Rs 76.90 per share and witnessed a weekly delivery quantity of approx. 9.5L shares

Recently, the company declared its Q3FY21 and 9 month ended results where it has reported a 210 per cent increase in its QoQ Consolidated PAT and 55 per cent increase in its EBIDTA QoQ; resultant of better operational efficiencies, better product mix and cost rationalisation efforts.

Safe Harbor Statement

Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, the progress and results of research and development, potential project characteristics, project potential and target dates for project related issues are forward-looking statements based on estimates and the anticipated effects of future events on current and developing circumstances. Such statements are subject to numerous risks and uncertainties and are not necessarily predictive of future results. Actual results may differ materially from those anticipated in the forward-looking statements. The company assumes no obligation to update forward-looking statements to reflect actual results changed assumptions or other factors.

This story is provided by PRNewswire. ANI will not be responsible in any way for the content of this article. (ANI/PRNewswire)

DISCLAIMER


(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

 

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

SVP Global to raise Rs 235 Cr via Equity Warrants, convertible at 37% premium to market price

Mumbai (Maharashtra) [India], January 28 (ANI/PRNewswire): Pursuant to applicable provisions and regulations, SVP Global Ventures Ltd, one of the largest compact cotton yarn manufacturers in the world has announced it's intention to issue upto 2,23,80,952 Convertible Equity Warrants to it's parent company, Shri Vallabh Pittie Ventures Private Pvt Ltd. The aggregate value of the transaction will stand at Rs 235 Crs for cash and the allotment of warrants will be completed within 15-day period from the date of shareholders approval.

The Warrant holder has the option to convert Equity warrants into equivalent number of fully paid up equity shares of face value of Rs 1/- each, in one or more tranches within 18 months from the date of allotment of warrant, at an issue price of Rs 105/- per Equity Share and is subject to interim adjustments by way of capitalisation of profits or reserves demerger, rights issue or any consolidation/reclassification activities.

On the announcement of the Preferential Issue of Equity Warrants, Chirag Pittie, Director, SVP Global Ventures Ltd. stated "The Issue of Equity warrants and its conversion at 37 per cent premium over current market price would help in strengthening the capital structure of the company. The company is committed to deliver long-term sustainable growth to its stakeholders by continuous reduction in overall debt and expansion in high-margin compact yarn business."

As on date, the Pre Issue Shareholding of the Promoter and Non Promoter stood at 68.71 per cent and 31.29 per cent respectively. Post issue the promoter and promoter group shareholding will be 73.41 per cent. The stock opened at Rs 79.85 and closed at Rs 76.90 per share and witnessed a weekly delivery quantity of approx. 9.5L shares

Recently, the company declared its Q3FY21 and 9 month ended results where it has reported a 210 per cent increase in its QoQ Consolidated PAT and 55 per cent increase in its EBIDTA QoQ; resultant of better operational efficiencies, better product mix and cost rationalisation efforts.

Safe Harbor Statement

Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, the progress and results of research and development, potential project characteristics, project potential and target dates for project related issues are forward-looking statements based on estimates and the anticipated effects of future events on current and developing circumstances. Such statements are subject to numerous risks and uncertainties and are not necessarily predictive of future results. Actual results may differ materially from those anticipated in the forward-looking statements. The company assumes no obligation to update forward-looking statements to reflect actual results changed assumptions or other factors.

This story is provided by PRNewswire. ANI will not be responsible in any way for the content of this article. (ANI/PRNewswire)

DISCLAIMER


(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

image
Business Standard
177 22