Api Power Company Limited (API) has got preliminary approval from the Electricity Regulatory Commission to issue 16,533,137 units of right shares.
The meeting of the board of directors held on Magh 02 proposed to issue 40% right shares from the paid-up capital. The paid-up capital of the company after the adjustment of 7.5% bonus shares will reach Rs. 4.13 Arba. Hence, after the rights issue of 1:0.40 (40%), the paid-up capital of the company will be revamped to Rs. 5.78 Arba. The company proposed to issue the right shares to pay off the debt of the projects that are being produced by the company.
The company will issue the right shares to its shareholders only after endorsing from its AGM and approval of SEBON. As of writing, API has an LTP of Rs. 291.