June 22, 2021 (MLN): The Board of Directors of Macter International Limited (MACTER), in their meeting held today, have decided to increase the paid-up share capital of the Company by the issue of a further 6.66 million ordinary shares.
These shares, having a face value of Rs10/-each, will be offered as Right Shares, to the members. The quantum of the Right Issue is 17.03% of the existing paid-up capital of the Company i.e., 17.03 right shares for every 100 ordinary shares held by the shareholders of the Company.
The shares will be offered at a price of Rs165/ per share (inclusive of a premium of Rs155/- per share), aggregating to Rs.1.1 billion.
As per the company’s notification to PSX, the purpose of the Right Issue is primarily to reduce reliance on bank borrowings; meet increased working capital requirements, and to finance new launches of medicine and advance therapies to enhance the profitability of the Company and, consequentially, the returns to the shareholders.
The subscription amount from the Right Issue will enhance the Company's ability to smoothly and effectively implement its business plan and to make available the required liquidity in efficiently meeting its working capital requirements. Effective implementation of the business plan is expected to positively impact the profitability of the Company, which in consequence would benefit its shareholders, the notice said.
