Rane Holdings increases stake by 1.56% to 71.77% in its subsidiary; Stock under pressure

11 Jan 2022 , 03:18 PM

Rane Holdings Limited on Tuesday has acquired 8,49,979 equity shares of Rs10/- each fully paid up (1.56%) in its subsidiary Rane (Madras) Limited (RML), on the conversion of entire outstanding 8,49,979 warrants out of the 25,49,936 warrants (issued on January 29, 2021) into underlying equity shares.

The overall shareholding of the company in RML stands increased to 1,16,72,774 Equity shares (to 71.77%). Equity shares were allotted at an issue price of Rs235.30/- per share.

“The Objects of the preferential issue by RML is to enable it to pursue capital expenditure programs, meet working capital requirements, support the overseas subsidiaries, reduce the debt position and achieve an optimum debt – equity ratio,” company said in a filing on Tuesday.

Towards close of trade on Tuesday, Rane Holdings Ltd was trading at Rs607.50 per piece down by Rs6.3 or 1.03% from its previous closing of Rs613.80 per piece on the BSE.