Penny stock below Rs 10, Okays $25 million fundraising through FCCBs after 3:1 bonus share allotment
In a recent development, a penny stock trading below Rs 10 has approved a $25 million fundraising plan through Foreign Currency Convertible Bonds (FCCBs). This decision comes after the company’s announcement of a 3:1 bonus share allotment.
The company’s move to raise funds through FCCBs signals its intent to strengthen its financial position and fuel its growth trajectory. FCCBs are a popular instrument for companies looking to raise capital as they offer the flexibility of converting the bonds into equity at a later date.
The approval of the fundraising plan comes on the heels of the company’s recent bonus share allotment, where shareholders were allotted three additional shares for every share held. This move was aimed at rewarding existing shareholders and enhancing the company’s market capitalization.
Overall, the company’s decision to raise $25 million through FCCBs, coupled with the bonus share allotment, reflects its commitment to driving shareholder value and positioning itself for future growth opportunities. Investors will be keenly watching how the company utilizes the raised funds to achieve its strategic objectives.