Remi Metals to induct Welspun, Widescreen as co-promoters

Tag : metals products
MUMBAI: Steel and tubular products maker Remi Metals Gujarat todaysaid it will induct Welspun Power and Steel and Widescreen Holdingas co-promoters to pump in Rs 43.48 crore as equity for one-timesettlement of its secured term loan and capex requirement to BFIR.

The existing promoters of the company will bring in Rs 12.03 crore,while Rs 1.97 crore will be routed through financial investor, RemiMetals Gujarat Ltd said in a filing to the Bombay Stock Exchangetoday.
Additionally, the company will arrange to bring further debt up toRs 97.50 crore to meet the one-time settlement (OTS) and otherrequirement, the filing added.

Decision to this effect was taken by the company's board ofdirectors in a meeting held yesterday.
The company had submitted its rehabilitation scheme to the Board ofIndustrial and Financial Reconstruction (BFIR), which is due tohear it on July 24.

The scheme envisages infusion of fund for OTS of all the securedterm lenders as well as for further capex requirement of thecompany along with derating of existing equity up to 90 per centsubject to BFIR approval, the filing further said. Shares of thecompany hit the lower circuit of Rs 8.20 in today's trade, 4.98 percent down from the previous close.