Shilpi Cable to raise up to $5.7M via preferential allotment

Shilpi Cable to raise up to $5.7M via preferential allotment

By Anuradha Verma

  • 06 Jan 2014

Shilpi Cable Technologies Ltd is raising around Rs 35.4 crore ($5.7 million) through a preferential allotment of shares to a group of foreign institutional investors (FIIs), the company said in a filing to the stock exchanges.

The firm has sought shareholders’ nod for the issue of up to 11.8 million shares at an issue price of Rs 30. It is looking to allot the shares to Leman Diversified Fund, Davos International Fund, Aspire Emerging Fund and Highbluesky Emerging Market Fund.

None of the shareholders currently owns any stake in the company but would together own 23.94 per cent after the issue. Leman Diversified Fund, Davos International Fund and Aspire Emerging Fund will hold 4.79 per cent stake each in the company while Highbluesky Emerging Market will have a stake of 9.57 per cent.

Presently, promoters of Shilpi Cable own 44.74 per cent in the company, which will come down to 34.04 per cent post the preferential share allotment.

Shilpi Cable manufactures a wide range of cables for industries like telecom, automotive and energy at its plants in Choupanki and Bhiwadi. It went public in early 2011.

(Edited by Joby Puthuparampil Johnson)