Diversified business house Max India today said it will issue warrants totalling Rs 173 crore to one of its promoter group companies -- Dynavest India.
In a filing to the Bombay Stock Exchange the company said its board has approved the issuance of 20 lakh warrants (representing about three per cent stake) on preferential basis to promoter Dynavest India.
Last month, the board at its meeting had approved the issuance of an equal number of warrants to its Founder and Chairman Analjit Singh, but later amended the resolution to issue them to Dynavest India instead.
An extra-ordinary general meeting would be held on January 22 to seek shareholder approval, it said.
As of December 23, 2009, Dynavest India held over 1.83 lakh shares representing 0.08 per cent stake in Max India.
Further in the December 26 meeting, the board had decided to sell 9.4 per cent stake in the company to Goldman Sachs Capital Partners for $115 million.
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Goldman has to compulsorily convert the Fully Convertible Debentures (FCDs) on or before 15 months from the date of its allotment.
Max India has interests in different sectors, including healthcare, IT services and financial services.
Shares of Max India were trading at Rs 222.25, up 2.11 per cent in afternoon trade on the BSE.