Kolkata: Kilburn Engineering Ltd has proposed to raise up to Rs 300 crore through a preferential allotment of shares and/or convertible warrants at Rs 425 per share. The company has said that this proposal is subject to approval by members at the upcoming AGM. The promoters stake following the fund raising could go down by 2-3%. Promoters have 50% in the company.
A Kilburn official said apart from the promoter group, a clutch of domestic HNIs and corporates are investing in the company along with some foreign institutional investors. Company MD Ranjit Lala said: “This strategic move will strengthen the company’s financial position and support our growth initiatives. The raised funds will primarily be allocated towards ongoing acquisitions, expanding operations, repaying long-term debt and pursuing future expansion and strategic acquisitions.”