Inox Green to Raise up to Rs 1,050 Crore via Preferential Issue

According to an exchange filing of 21 June 2024, Inox Green Energy Limited scheduled a Board of Directors meeting on Wednesday, 26 June 2024. The purpose of the meeting was to propose raising funds by way of issuing one or more securities or warrants. The funding is done to raise money for future acquisitions.

Outcomes of the meeting:

Inox Green held its Board of Directors Meeting on 26th June and got the approval of the Board and the shareholders on the following issues.

1. The board approved the company to raise funds aggregating up to Rs. 1050 Crore through preferential issues. The issue is further divided into 2 amounts. About 2,89,85,503 equity shares of face value Rs.10 at an issue price of Rs.138, are provided to Non-Promoter entities aggregating up to Rs. 400 Crore in value. About  4,48,27,582 Convertible Warrants each carrying a right to subscribe to 1 Equity Share of the face value of Rs. 10/- each of the Company for Rs.145/- is allotted to both Promotor and Non-Promotor Entities aggregating to Rs. 650 Crore in value. An amount equivalent to at least 25% of the Convertible Warrant Issue Price shall be payable at the time of subscription and allotment of each Convertible Warrant and the balance of 75% shall be payable from time to time on the exercise of Convertible Warrants within a period not exceeding 18 months from the date of allotment of the Convertible Warrants. 
2. The board also approved an Extra-Ordinary General Meeting(EGM) of the company on 18 July 2024 to seek approval of the Members for the issue of said securities on a preferential basis. 

About Inox Gree Energy Services

The company currently provides Operation and Maintenance Services as well as common infrastructure facilities for Wind Turbine Generators (WTGs). The company is part of the INOX GFL Group and has its footprints in the western and southern parts of India. The company aims to build a greener ecosystem for India by supporting the evacuation of power from the WTGs. The company’s share closed 5.09 percent higher at Rs 180.50 apiece on the BSE on Wednesday.

Conclusion: With a consolidated net profit of Rs.21.32 Crore and the counter hitting an all-time high of Rs. 184.55 in the intra-day session on Wednesday the company shows a promising future with the recent announcement

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.