The board of directors of Asian Electronics, which met today, approved a proposal to invest up to Rs 5 crore in a joint venture company - Midcom Magnetics Management - with US-based Midcom Inc.According to a release issued by Asian Electronics to the BSE today, the JV will be set up as an ancillary industry to manufacture some critical components required by the company.The meeting also approved a proposal to issue 4.40 lakh equity shares of Rs 10 each at Rs 240 per share to Shah Investment Financials Developments & Consultants - an entity belonging to the promoter group."The meeting also approved a proposal to issue 19.05 lakh fully convertible debentures of Rs 240 each to specified investors. FCDs will carry interest @ 6% p.a. payable for a period of 12 months from the date of allotment of FCDs. Each FCD shall be compulsorily converted into one equity share of the company at Rs 240/- per share," the release added.The meeting also approved a proposal to issue 11.70 lakh share warrants carrying an entitlement to subscribe to an equivalent number of equity shares at Rs 240/- to Shah Investments Financials Developments & Consultants, the release added.
