Small-cap stock under ₹50: Kellton Tech Solutions share price will remain in focus on Monday, September 8, after the company announced raising of funds via FCBs and QIP, increase in authored share capital.
The small-cap stock was up less than a per cent to close at ₹25.50 apiece on Friday.
Looking at the share price trend of last one year, the stock has remained volatile. The scrip has ascended over 7.55 per cent in six months, however, descended 13.32 per cent in one year.
Kellton Tech Solutions fundraise plans
In an exchange filing, the Kellton Tech Solutions said that board has approved raising of funds by issuance of foreign currency convertible bonds (FCCBs) on a Private Placement Basis not exceeding $50 million.
“The fund raising by way of issuance of equity shares and/or any other eligible securities (convertible/nonconvertible) through Foreign Currency Convertible Bonds(FCCBs) in one or more tranches, provided that the aggregate amount to be raised by issuance of eligible securities shall not exceed 50 Million USD, subject to such regulatory/statutory approvals,” it said.
The small-cap tech company further announced that the board has also approved raising of funds by issuance of equity/other eligible securities through Qualified Institutional Placement (QIP) not exceeding ₹250 crore.
“The fund raising by way of issuance of any instrument or security for cash or otherwise including equity shares or any other eligible securities inter-alia fully convertible debentures, partly convertible debentures, non-convertible debentures with or without warrants and/ or any security convertible into equity shares (collectively “Securities”), in one or more tranches by way of a preferential allotment, private placement, including one or more qualified institutions placement (‘QIP’),” the company added.
The company also announced increase in authorised share capital of the company and its consequential amendment in Memorandum of Association.
“The Authorised Share Capital of the Company is Re. 100,00,00,000/- (Rupees One Hundred Crores only) divided in to 100,00,00,000 (One Hundred Crores) equity shares of Re. 1/- (Rupees One) each. The company will have the right to increase or reduce its capital and to divide the shares in the capital for the time being into several classes and to attach thereto respectively any preferential, qualified or special rights privileges or conditions as may be determined by or in accordance with the regulations of the company for the time being to vary modify or abrogate any such rights, privileges or conditions in such manner as for the time being be provided by the Companies Act, 2013 or provided by the company for the time being,” it added.
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