B K Birla, Kumar Birla to buy Century Enka warrants

B K Birla group company Century Enka will issue 1.8 million warrants to promoter companies in a preferential allotment. The funds are being raised to meet its capex requirements and increase its long term financial resources.

The promoters own 25.23% in Century Enka, which would make it low among Indian companies.

Century Textiles and Industries, a B K Birla group company, which owns 1.83% at present, will see buy 0.9 million warrants and see its stake rise to 5.8%.

Aditya Birla group firm TGS Investment & Trade will buy the other 0.9 million warrants. This firm is the largest shareholder in Century Enka, owning 11.05% will see its ownership increase to 14.26%. Aditya Birla group is controlled by B K Birla’s grandson Kumar Mangalam Birla. 

The stock was up 2.7% on November 6, 2009 to Rs 191.20 on the BSE.

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