Nitco Limited — Important, 28-01-2025: Updates

The Board of Directors has approved the preferential allotment of 15,63,21,000 equity shares and 2,34,10,000 convertible warrants. This follows the approval obtained at the Extra-Ordinary General Meeting, with equity shares being allotted at a price of Rs. 92.25 each, amounting to ₹404.25 crore for the shares and ₹215.96 crore for the warrants.

The equity shares will comprise 4,38,21,000 shares allotted to various public and promoter entities, with key allotments including 3,50,00,000 shares to Vivek Prannath Talwar. Additionally, 11,25,00,000 shares are being allocated to Authum Investment & Infrastructure Limited as a conversion of part of the company's debt.

This move is expected to enhance liquidity and strengthen the balance sheet, creating potential upside for shareholders. Investors might view the capital infusion positively, as it is likely to bolster the company's growth trajectory.