Jubilant Life Sciences Gets Shareholders' Nod To Raise Up To Rs 1,340 Crore

New Delhi: Drug firm Jubilant Life Sciences has received approval of its shareholders to raise up to $200 million (around Rs 1,340 crore) to fund expansion including acquisition and additional working capital needs.

"The special resolution for issue of equity shares and/or other securities...has been declared as passed with requisite majority, through postal ballot/e-voting," Jubilant Life Sciences said in a filing to the BSE.

The resolution was passed with 85.34 per cent of votes, of the total valid votes polled, it added.

The consent of shareholders has been accorded to the company's board to take steps to raise the amount, Jubilant Life Sciences said.

The company was seeking shareholders' nod through postal ballot as it "intends to issue Indian Securities and/or Foreign Securities for an aggregate amount not more than rupee equivalent of $200 million with or without a green shoe option of up to 15 per cent", Jubilant Life Sciences had earlier said in a filing to the BSE.

In the notice of postal ballot, the company had said the purpose of raising the fund is to strengthen its balance sheet by deleveraging and also "to explore further growth initiatives such as expansion, acquisition, additional working capital needs and other general corporate purposes". 

Shares in Jubilant Life Sciences, on Tuesday, ended 4.54 per cent higher at Rs 361.55 apiece on the BSE, whose benchmark Sensex index finished down 0.22 per cent.