| A single bench of Justice Rekha Sharma passed the order on a petition filed by non-banking finance firm H B Stockholdings challenging the Company Law Board's decision to decline to stay the Shriram's board resolutuion with regard to preferential warrants. |
| The court passed the directions after senior advocate Abhishek Manu Singhvi, appearing for DCM Shriram, submitted that "full money have been received, warrants issued and results have also been declared". |
| On this, H B Stockholdings's counsel A S Chandiok sought a stay on allotment of shares after the declaration of results, but the court declined to accept his plea. The court posted the matter on Monday for next hearing. |
| The court also directed DCM Shriram's board to file an affidavit giving details on things that have happened so far. Meanwhile, DCM Shriram today said its shareholders have approved the allotment of warrants to promoters on preferential basis. |
| The shareholders of the company have approved the warrants issue through a postal ballot with requisite majority, DCM Shriram informed the BSE. |
| The sugar manufacturer has proposed a preferential allotment of warrants to the promoter and the promoters group at a price of Rs 90 each. |
| Harish Bhasin-led HB Stockholdings, which has made an open offer for acquiring 22.5 per cent stake in DCM Shriram, had filed a petition with Company Law Board, for restraining the sugar manufacturer from conducting a postal ballot that sought approval from its shareholders for the preferential allotment. |
| Shriram had initially proposed to issue preferential warrants to promoters at Rs 52 per share. But it was later raised to Rs 90 per share after HB Stockholdings made a hostile takeover bid. |
| Yesterday, in a bid to sweeten its offer HB Stockholdings increased its acquisition price to Rs 90 a share from Rs 70 announced earlier. |
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