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Apollo Micro Systems Ltd. informed the exchanges on Thursday, November 21, that its board has considered and approved the withdrawal of the preferential issue of 2.45 crore convertible warrants to its promoters and certain identified non-promoter entities.
The board in July this year had approved the issuance of 2.45 crore convertible equity warrants on a preferential basis to the promoters and these non-promoter entities.
However, the company has received letters of withdrawal of consent to subscribe to the convertible equity warrants from some key proposed allottees, namely the Eminence Global Fund PCC, Eubilia Capital Partners Fund I, North Star Opportunities Fund VCC - Bull Value Incorporated VCC Sub-fund and AG Dynamic Funds Ltd., citing delays in opening the preferential offer from their date of original consent to the date of commencement of the offer, as per the exchange filing.
The proposed allottees indicated their decision to withdraw their subscription due to the prolonged time gap, which caused a change in their financial and strategic priorities.
"Considering the substantial portion of the proposed issue that was to be subscribed by the aforsaid allottees, the withdrawal of their consent has significantly impacted the size and viability of the preferential issue," Apollo Micro Systems further said.
The company has highlighted that the withdrawal of the issue will not impact the financial stability, operations or growth prospects.
Apollo Micro Systems is involved in the design, development, assembly and testing of electronic and electro mechanical solutions.
Shares of Apollo Micro Systems ended 0.4% lower on Thursday at ₹92.55. The stock is down 38% so far from its recent high of ₹147.
The board in July this year had approved the issuance of 2.45 crore convertible equity warrants on a preferential basis to the promoters and these non-promoter entities.
However, the company has received letters of withdrawal of consent to subscribe to the convertible equity warrants from some key proposed allottees, namely the Eminence Global Fund PCC, Eubilia Capital Partners Fund I, North Star Opportunities Fund VCC - Bull Value Incorporated VCC Sub-fund and AG Dynamic Funds Ltd., citing delays in opening the preferential offer from their date of original consent to the date of commencement of the offer, as per the exchange filing.
The proposed allottees indicated their decision to withdraw their subscription due to the prolonged time gap, which caused a change in their financial and strategic priorities.
"Considering the substantial portion of the proposed issue that was to be subscribed by the aforsaid allottees, the withdrawal of their consent has significantly impacted the size and viability of the preferential issue," Apollo Micro Systems further said.
The company has highlighted that the withdrawal of the issue will not impact the financial stability, operations or growth prospects.
Apollo Micro Systems is involved in the design, development, assembly and testing of electronic and electro mechanical solutions.
Shares of Apollo Micro Systems ended 0.4% lower on Thursday at ₹92.55. The stock is down 38% so far from its recent high of ₹147.
First Published: Nov 22, 2024 8:25 AM IST
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