City-based Prajay Engineers Syndicate Limited would increase its authorised share capital to Rs 90 crore from the present Rs 50 crore. This would be divided into 90 million equity shares of Rs 10 each from the present 50 million equity shares of Rs 10 each.
The company said it would also issue up to 40 million warrants on a preferential basis convertible into 40 million equity shares of the face value of Rs 10 each in the share capital of the company for cash or valuable consideration. When converted it would be Rs 19.50 per share including Rs 9.50 premium. The warrants could be exercised any time within 18 months from the date of issue.
The promoter holding post preferential issue of warrants would go up to 33.24 per cent from the present 16.35 per cent. The number of shares would increase to 26.4 million from 6.4 million shares. The holdings of FIIs would also decrease to 22.42 per cent from 45 per cent. The company has called for an EGM on June 15.