PVR seeks shareholders’ nod to raise Rs 750 cr via issue of securities

MUMBAI: Multiplex chain operator PVR is planning to raise up to Rs 750 crore through the issue of securities to qualified institutional buyers. The proposal is subject to the approval of the shareholders.

PVR’s board had on 21 December approved the issue of equity shares of the company with a face value of Rs 10 each or other securities in one or more tranches qualified institutional buyers (QIBs) subject to the approval of the shareholders.

“The company intends to issue securities for an aggregate amount not exceeding Rs 7.5 billion,” PVR said in a postal ballot notice to its shareholders.

The sum raised would be used for “funding our capital expenditure needs, funding any acquisitions, reducing our outstanding debt, funding long and short-term working capital requirements, general corporate purposes and/or other corporate exigencies”.

The e-voting for the proposal will be held from 31 December to 29 January 2019. The results will be announced on 30 January 2019.

In August this year, PVR had announced the acquisition of 71.69% stake in South India-based SPI Cinemas for about Rs 633 crore in an all-cash deal. In 2016, PVR had acquired 32 screens of DT cinemas from realty major DLF for Rs 433 crore.

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