Smallcap stock under ₹100: Mercury EV-Tech declares rights issue at 25% premium; Details here | Stock Market News

Smallcap stock under  ₹100: Mercury EV-Tech declares rights issue at 25% premium; Details here | Stock Market News

Source: Live Mint

Small Cap stock Mercury EV-Tech Ltd.’s board of directors approved a preferential shares and warrants rights issue in its meeting held on Friday, September 13, according to the company’s Bombay Stock Exchange (BSE) filing on Friday.

Mercury EV-Tech shares closed 4.94 per cent higher at 96.92 after Friday’s trading session, compared to 92.36 at the previous market close. The company announced the rights issue after the market operating hours.

The company aims to raise nearly 480 crore from its rights issue of warrants and preferential shares, according to the company filing.

Rights Issue details:

The electric vehicle (EV) maker’s board approved the preferential share issue of up to 1,57,41,000 or nearly 1.57 crore equity shares at a price of 75 per share, with a face value of Re 1 per share. The issue is at a premium of 74, valuing the total size of the issue at not more than 118,05,75,000 or 118.05 crore.

“To issue upto 1,57,41,000 equity shares, of the company, at a price of 75/- per equity share each having face value of Re.1/- each at a premium of Rs. 74/- aggregating to not more than 118,05,75,000/- to the proposed allottees,” said Mercury EV-Tech in the exchange filing.

The company’s board also approved a warrant issue of up to 4,83,00,000 or 4.83 crore convertible warrants at a price of 75 per warrant, each convertible into one fully paid-up equity share with a face value of Re 1 per share. At a premium of 74 per share, the total size of the issue adds up to 362,25,00,000 or 362.25 crore.

“To issue upto 4,83,00,000 convertible warrants, of the company, at a price of Rs. 75/- per warrant each convertible into, or exchangeable for, 1 (one) fully paid-up equity share of the company having face value of Re.1/- each at a premium of Rs. 74/- per share aggregating to not more than 362,25,00,000/- to the proposed allottees,” said the company.

After the warrants are issued, an amount equivalent to 25 per cent of the total issue size will be called upfront from the proposed allottees, as per the filing.

Mercury EV-Tech has also announced a board meeting to be held on October 12, 2024, to discuss and ask for approval in the matter from the shareholders of the company.



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