Valiant Communications Limited , an ISO 9001:2015 and ISO 14001:2015 certified company, has taken a significant step in its corporate strategy. The company's Board has approved the allotment of 6,00,000 fully convertible warrants at Rs 768 per warrant to six investors on a preferential basis.

Allotment Details

The allotment, worth a total of Rs 46.08 crore, includes notable investors such as:

• Shankar Sharma
• Rajiv Khanna
• Multiple funds

Impact on Share Capital

This strategic move has implications for the company's capital structure:

• The paid-up equity share capital will increase on a fully diluted basis
• New total: Rs 12.04 crore
• Comprising: 1,20,42,090 equity shares
• Face value: Rs 10 each

Previous Shareholder Approval

This allotment follows a strong show of shareholder support:

• Shareholders had previously approved the issuance of up to 6,00,000 fully convertible warrants to entities in the "public" category on a preferential basis.
• The approval was obtained through a postal ballot process that concluded on November 17.
• The e-voting results showed overwhelming support:
  • 99.9999% votes in favor (5,691,370 votes)
  • 0.0001% votes against (7 votes)

Voting Participation

This allotment marks a significant corporate action for Valiant Communications Limited, potentially impacting its growth strategy and financial structure. Investors and stakeholders will be closely watching how the company leverages this capital infusion for its future operations and financial position.

Valiant Communications Limited has received in-principle approval from the BSE for a preferential issue of warrants. The company plans to issue 6,00,000 warrants convertible into equity shares at Rs. 768.00 per share to non-promoters.

Key Details of the Warrant Issue

The warrant issue is valued at approximately Rs. 46.08 crore. Each warrant carries the right to be converted into one equity share with a face value of Rs. 10.00.

Allocation of Warrants

The warrants will be allocated to six investors as follows:

Additional Board Decisions

Previously, the Board of Directors had taken several important steps in connection with this preferential issue:

1. Constituted a Preferential Issue Committee to oversee and manage all necessary actions related to the issue.
2. Approved a draft postal ballot notice to seek shareholder approval for the preferential issue.

Regulatory Compliance

The issue price of Rs. 768.00 per warrant has been determined in accordance with the provisions of Chapter V of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended, and applicable provisions of the Companies Act, 2013.

Next Steps

While Valiant Communications Limited has received in-principle approval from the BSE, the preferential issue remains subject to shareholders' approval, which will be sought through a postal ballot. The company will provide further details on the conversion of securities or the lapse of the tenure of the instrument as required.

This move by Valiant Communications Limited indicates an effort to raise capital. The company has not provided specific information on how the funds will be utilized.