NACL Industries To Issue Preferential Shares Worth Rs 50 Crore

NACL Industries Ltd. on Thursday said that it will issue preferential shares worth nearly Rs 50 crore to a promoter, as well as a non-promoter entity.

The announcement follows the company’s board of directors approving the issuance and allotment of 68,96,550 convertible warrants at an issue price of Rs 58 apiece, which includes a premium of Rs 57, according to the company's exchange filing.

The company will issue, on a preferential basis, warrants aggregating to Rs 39,99,99,900 to promoter K. Lakshmi Raju “in accordance with the provisions of the Companies Act, 2013, SEBI, and other applicable laws.”

Additionally, the board also approved the issuance and allotment of 17,24,137 equity shares at a price of Rs 58 apiece, which includes a Rs 57 premium.

These preferential shares, aggregating to Rs 9,99,99,946, will be issued to a non-promoter entity, "in accordance with the provisions of the Companies Act, 2013, SEBI ICDR Regulations, and other applicable laws," and will be subject to shareholders’ approval.

And, to seek the necessary shareholder approvals for the above preferential issuances, the board has also approved issuing a notice to convene an extraordinary general meeting of the shareholders on Jan. 9, 2025, which will be conducted via videoconferencing or other audiovisual means.

Earlier, in November, the company had informed via a stock exchange filing that BSE Ltd. and National Stock Exchange of India Ltd. had imposed a penalty of Rs 1,27,440 on NACL Industries.

The filing added that the penalty was for alleged non-compliance with Regulation 19 of the Listing Regulations, which concerns the constitution of the nomination and remuneration committee.

However, the company had stated that it “firmly believes that it is in compliance with the provisions of Regulation 19 and will take up the matter with the stock exchanges, as well as pursue other necessary steps to challenge or seek reconsideration of the decision regarding the penalty.”

Shares of NACL Industries Ltd. closed 2.46% lower at Rs 57.92 apiece on the BSE, compared to a 0.29% decline in the benchmark Sensex.