Tuesday, April 7, 2009

Simplex Infrastructures Allotment Of Equity Shares - April 07, 2009

Simplex Infrastructures Ltd has informed that the Company had allotted 55,00,000 warrants at a price of Rs 401/- per warrant to a promoter group Company namely, M/s. RBS Credit and Financial Development Ltd (RBS) on October 04, 2007 in accordance with Section 81(1A) of the Companies Act, 1956 and Chapter XIII of Securities and Exchange Board of India (Disclosure and investor Protection) Guidelines, 2000 after obtaining approval from the members of the Company at its Annual General Meeting held on September 19, 2007.

The Company had also obtained inprincipal approval from the Stock Exchanges in this regard. As per terms of the issue RBS was entitled to apply for and be allotted one fully paid equity share of the face value of Rs 2/- each against one warrant. The Company had received Rs 40.10 per warrant being 10% of the issue price of 55,00,000 warrants on October 04, 2007 from RBS.

The Board of Directors of the Company had passed a resolution for conversion of 2,00,000 warrants into equity shares on March 27, 2008 after they received an application in this regard from RBS along with the requisite payment.

In accordance with Chapter XIII of Securities and Exchange Board of India (Disclosure and Investor Protection) Guidelines, 2000, the warrant holder has the option to exercise the right of conversion of warrants into equity shares within 18 months from the date of allotment. In our case the said 18 months period expired on the close of business hours on April 03, 2009.

This is to inform that RBS has not exercised their right for conversion of warrants into equity shares within the stipulated time frame of 18 months and therefore the remaining 53,00,000 warrants now stand lapsed.

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