Vishal Retail’s shareholders authorise issue of preferential warrants to promoter CMD

June 29th, 2009 · No Comments

Vishal Retail, Delhi-based multi-format, multi-product, value retailer, which following falling footfalls and declining purchases, for most part of the year 2008 and early 2009, has faced cash crunch, may afterall get much needed resorces.

The equity shareholders of Vishal Retail Ltd, the company which owns the retail chain, in the Extra Ordinary General Meeting (EGM) of the Company held on June 27, 2009, have passed a Special Resolution that authorises the company to issue and allot, in one or more trenches, upto 75,00,000 (Seventy Five Lacs) warrants on a preferential basis to Ram Chandra Agarwal, CMD of the Company. Agarwal also happens to be the founder and promoter of the company.

At the peak of the cash crunch, the retailer was said to be in talks with Reliance Retail, among others, for sale of equity by way of dilution of promoters’ equity in the company.

Tags: Accessories · Apparel · Capital/ PE/ IPO · Consumer Electronics/ Home Appliances · FMCG · Food and Grocery · Homeware/ Household · Indian Owned · Leather/ Footwear · MBO (Multi Brand Outlet) · Megastores/ Mini-Hypermarkets · Multi-format · Multi-product Categories · Shop-in-Shop (SIS) · Supermarkets/ Megastores · Value Segment · Vishal (Agarwals)