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The shares of Samvardhana Motherson International Limited (SMIL) were trading at ₹191.86 down by ₹1.93 or 1 per cent on the NSE today at 10.27 am.
Samvardhana Motherson International Limited (SMIL) announced the opening of a qualified institutions placement (QIP) of equity shares and compulsorily convertible debentures (CCDs) on September 16, 2024. The company’s Finance Committee approved a floor price of ₹188.85 per equity share for the issue, based on SEBI regulations.
The CCDs, with a face value of ₹100,000 each, will have a maturity date of September 20, 2027, and bear an interest rate of 6.50 per cent per annum.
Holders can opt for early conversion starting September 30, 2026, or wait for compulsory conversion at maturity. The conversion price will be determined based on a formula that considers volume-weighted average price and floor price.
SMIL has received in-principle approval from both BSE and NSE for listing the CCDs. The company plans to list the CCDs under a relaxation granted by SEBI from strict applicability of certain securities rules, subject to specific conditions.
The issue aims to raise capital for the company, with the equity shares and CCDs being offered to qualified institutional buyers. This move comes following approvals from SMIL’s board of directors on August 2 and shareholders on August 29, 2024.
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