Shivam Autotech Receives In-Principle Approval for Preferential OCD Issue
Shivam Autotech Limited received in-principle approval for a preferential issue of up to 12,000 OCDs. The approval also covers the listing of 4,16,52,204 equity shares upon conversion of these OCDs. The approval is subject to various conditions and compliance requirements.
The preferential issue of OCDs and subsequent equity share issuance are significant corporate actions that could impact the company's capital structure and shareholder base.
The company has received in-principle approval for a preferential issue, which is a positive development for fundraising and potential growth.
Shivam Autotech Limited has announced that it has received in-principle approval from the stock exchanges for a proposed preferential issue. The approval is for the issuance of up to 12,000 unlisted, secured, redeemable, optionally convertible debentures (OCDs) with a face value of ₹1,00,000 each, aggregating to an approved amount.
Furthermore, the company has received communication acknowledging its application for the in-principle approval for listing of 4,16,52,204 equity shares of face value ₹2 each. These shares are proposed to be issued upon the conversion of the Optionally Convertible Debentures issued on a preferential basis.
The company has received the formal in-principle approval letters from BSE Limited and the National Stock Exchange of India Limited, with copies enclosed for information. The approval is subject to the company fulfilling various conditions, including timely filing of listing applications, obtaining statutory approvals, and complying with SEBI, RBI, and MCA guidelines. The company is also advised to strengthen internal controls to monitor trades executed by proposed allottees and obtain undertakings confirming no intra-day trading or sale until the allotment date.
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Shivam Autotech Limited filed this with the NSE as a statutory disclosure, categorised under equity fundraising. It is a primary document, not a recommendation, and the desk marks it medium impact: worth reading, rarely worth acting on by itself.
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See the model portfoliosA plain-language summary of a public exchange filing by Shivam Autotech Limited. Read the original for the full detail.