IVRCL plans Rs 100 crore preferential allotment

IVRCL Infrastructures & Projects Ltd, a city-based construction company with a projected turnover of Rs 700 crore this year, has proposed to issue 40 lakh equity shares each to Citicorp International Finance Corporation and Chrys Capital II through a preferential offer at a price of Rs 125 a share with a face value of Rs 10 each, fetching an amount of Rs 100 crore.

The two foreign institutional investors (FIIs) will hold 20.47 per cent stake each in the expanded paid-up capital of the company after the proposed preferential offer.

FIIs holding in the company at present is zero. The issue of shares to the two FIIs is subject to entering into definitive agreements with them and fulfillment of conditions precedent in accordance with the agreements.

The company's board of directors at their meeting today also proposed to issue 4 lakh warrants to the promoters of the company, which will be converted into same number of equity shares at a price of Rs 125 per share within a period of 18 months from the date of issue.