Chennai, India -- Shareholders of Manali Petrochemicals, a polyol production company, approved a plan to raise up to $50m at on 22 November at a vote on a special resolution of the company.
The plan to raise funds was approved by the company’s directors in September, but needed shareholders to agree. Of the votes cast on the special resolution, more than 99% of the shareholders approved. This gives management wide leeway to issue shares/ADRs/global depository receipts/convertible bonds in rupee or other currencies, or more shares anywhere in the world.
The vote also gives management the wherewithal to ‘enhance business activities both in domestic and overseas market, through the acquisition of existing companies, setting up new manufacturing infrastructure’, as well as to spend the money it raises on product development and introduction. This was specified in the earlier board resolution to raise funds.
According to a filing with the Bombay Stock Exchange, a Manali board committee has been set up to decide how much to raise, and what to do with the cash that is raised.