The stake of the Ruias in Essar Shipping is set to climb from 48 per cent to 66.7 per cent after the conversion into equity of a loan issued by Essar Investments, an investment company of the Ruias.
Essar Shipping will subsequently issue shares to its promoters and associates. This will raise the Ruia stake in the company, but it is not clear by how much.
The Essar Shipping board is meeting on March 30 to consider the allotment of 10.05 crore shares of Rs 10 each at par to the promoters of the company on a preferential basis. Shashi Ruia is the chairman of the company.
The conversion and the preferential allotment will increase the company
