A key development to watch out for today will be Unitech’s EGM. After successfully raising Rs 1,600 crore via a QIP in April, Unitech’s board is seeking shareholder approval for the promoters to increase their stake via a warrant issue.
Post the QIP, the promoters stake had fallen to 51% and post the warrant conversion the promoter stake will increase by 5%. Each warrant has been priced at Rs 50.75 and can be converted within 18 months.
Also on the agenda is for the company to raise additional funds by increasing its share capital by up to Rs 200 crore. Speculation is rife that Unitech is looking at a second fund raising activity and might be in the market to raise $ 300-500 million.
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