Oriental Trimex to Raise Rs 48.5 Crore via Rights Issue

New Delhi, Sep 16 (PTI) Oriental Trimex, a processor and trader of natural stones, on Monday announced that the company will raise Rs 48.51 crore through rights issue.

The subscription to the rights issue will open on Thursday and conclude on September 27.

The company will issue up to 4.41 crore equity shares at price of Rs 11 per share (including a premium of Re 1 per share) on a rights basis to the eligible equity shareholders in the ratio of three equity shares for every two fully paid-up equity shares held by the eligible equity shareholders, Oriental Trimex said in a statement.

The company has fixed September 5, 2024 as the record date to decided the eligibility of shareholders, it added.

Proceeds from the issue will be used by OTL to repay its loans and working capital requirement. Also, funds will be used by the firm for setting up an additional machinery for marble block in Tamil Nadu and development of Jet-Black quarry granite in Odisha.

"With only a nominal interest amount remaining, which is expected to be paid by September, we are on the verge of achieving debt-free status.

"This development is expected to enhance the company's credibility and reputation among stakeholders, further strengthening its position in the industry," Rajesh Punia, Chairman of Oriental Trimex Ltd, said.

Further, to enhance its customer offerings and create new revenue streams, Oriental Trimex Ltd (OTL), a BSE and NSE-listed entity, plans to diversify its portfolio by venturing into additional related product lines.

Beetal Financial & Computer Services is the registrar to the issue.