Shakti Pumps has proposed to allot 8,77,193 equity shares at Rs 57 a share on a preferential basis to IFCI Venture Capital Fund. The extraordinary general meeting of Shakti Pumps held on Tuesday had approved the investment by IFCI.
IFCI Venture, which had made the investment through Green India Venture Fund, will appoint Mr S.P. Arora as a nominee director on the board of Shakti Pumps.
The board had also approved the re-appointment of Mr Dinesh Patidar as Managing Director for five years with a monthly remuneration of Rs 3.25 lakh and Mr Sunil Patidar was re-appointed as a whole-time director for five years with a remuneration of Rs 1 lakh, the company said in a statement.
The company's shares were down 1.07 per cent at Rs 51.95 on Tuesday.