 "Goodluck India to expand Defence & Aerospace wing by raising Rs 96 crore")
Goodluck Defence and Aerospace Private Ltd, a wholly-owned subsidiary of Goodluck India Ltd, has announced its expansion plans, which include the manufacturing of machine products for the defence and aerospace industry. The board of Goodluck India also approved a preferential issue valued at Rs 96 crore, according to the company filing on the exchanges.
Goodluck Defence and Aerospace was incorporated on August 31, 2023. The company's main objective is to carry out the business of forging, machining, treatment, and coating of steel, stainless and special steel, alloys or any other metal by open forging, die forging, robotic forging or any other method. The company is yet to commence its business operations and has received Rs 40 crore from its parent company as an investment.
The total funds proposed to be raised through the preferential route amount to around Rs 96 crore. The decisions, taken during a board meeting on Wednesday, will be subject to the approval of the members and relevant authorities.
"We are further raising funds through a preferential issue, which will enable us to capitalise on the immense opportunities offered by a robust economy transforming into a developed nation, given its demography, resilience and entrepreneurial capabilities, amidst a fast-evolving global environment," stated M C Garg, the chairman of Goodluck India.
The preferential issue comprises the sale of 500,000 convertible warrants to the promoter category at an exercise price of Rs 600 per underlying equity share of the face value of Rs 2 each (including a premium of Rs 598 per equity share) or such higher issue price as may be determined according to Sebi regulations.
The company will also issue 1.1 million equity shares in the non-promoter category to key investors. This will be at the same exercise price as the promoter category or at a higher rate, as determined by Sebi regulations.
Commenting on the vision of the new company, the chairman added, "India is at the cusp of innovation and industrial renaissance, with the Government's razor-sharp focus on Make in India, Aatmanirbhar Bharat, and a vision for a developed economy by 2047. Defence and aerospace sectors will be at the epicentre of this audacious vision. Therefore, we have decided to channel our experience and capabilities through a wholly-owned subsidiary – dedicated to exploring larger opportunities in these high-growth sectors."