Mahalaxmi Rubtech acquires Mahalaxmi Exports fully for Rs2.85 crore; Stock hits lower circuit

14 Mar 2022 , 11:18 AM

Mahalaxmi Rubtech Limited has further acquired Shares and Voting Rights in its Wholly Owned Subsidiary (WOS) Company namely Mahalaxmi Exports Private Limited.

Mahalaxmi Exports has issued 28.50 lakh Equity Shares at a Face Value of Rs10/- each, for business purpose, on a right basis in its Board Meeting held on March 12, 2022, which have been fully paid up by the Company, for cash, aggregating to Rs2.85 crore, resulting into 100% shareholding in WOS.

At around 11.25 am, Mahalaxmi Rubtech Ltd was trading at Rs126.40 per piece down by Rs6.65 or 5% from its previous closing of Rs133.05 per piece on the BSE. The scrip opened at Rs127.25 and has touched a 5% lower circuit of Rs126.40 on Monday.

“The Wholly-Owned Subsidiary has been incorporated on November 05, 2019. It is engaged in the textile business. It falls within the related party transaction and the same is done at arm length basis. Promoters cum Directors of the Company are also Directors in WOS. It does not require any governmental or regulatory approvals for acquisition,” company said in a filing on Saturday.