Alok Industries Allotments Of Equity Shares - July 31, 2009

Alok Industries has announced that the company had issued and allotted 1,00,00,000 warrants to Jiwrajka Associates (JAPL) a part of the promoter group, at a price of Rs 102 per warrant. The warrants holders had paid a sum equivalent of 10% of the total consideration as per the terms of the issue and the balance would be payable upon exercise of the conversion option.

The Warrant holders were to be allotted one equity share of the company, of Rs 10 each, on payment of an exercise price of Rs 102 per equity share, on or before 31 July 2009.

The company has announced that they do not wish to exercise the option of conversion of aforesaid warrants into equity shares.

Pursuant to SEBI Guidelines for preferential allotment, the company have thus forfeited 10% warrant subscription money brought in by JAPL at the time of allotment of warrants.

The company made this announcement after the trading hours today, 31 July 2009.

Alok Industries To Issue & Allot Equity Shares

The board of Alok Industries has decided to issue and allot 98,00,000 equity shares of the face value of Rs 10 each for cash at a premium of Rs 92 per share to Jiwrajka Associates, a part of the promoter group, as an outcome of exercise of option for conversion by the warrant holder of 98,00,000 warrants allotted on a preferential basis on 26 February 2008.
By virtue of the above referred preferential allotment of equity shares to the promoter group, the paid up equity share capital of the company has increased from 18,71,74,969 equity shares of the face value of Rs 10 each to 19,69,74,969 equity shares of the face value of Rs 10 each.

Further, the board has decided to hive-off its retail business to the company's wholly subsidiary company viz. Alok Homes & Apparels.

This was decided at the board meeting held on 28 April 2008.