Andhra Cements Files Draft Papers To Raise Rs 180 Crore Via Rights Issue

Andhra Cements Ltd., an arm of Sagar Cements Ltd., filed the draft papers with the Securities and Exchange Board of India on Monday to raise up to Rs 180 crore through rights issue.

The draft document has also been filed with the BSE and the National Stock Exchange for their requisite approvals.

The company said its rights issuing committee "approved the draft letter of offer for the proposed issuance of equity shares of the company by way of rights issue to the eligible equity shareholders for an amount aggregating up to Rs 180 crore".

The fundraise plan had received a nod from the company's board of directors in a meeting held on March 28. The board had then also approved a separate proposal to raise up to Rs 250 crore through debt issue.

In the quarter ended June, Andhra Cements had posted a net loss of Rs 23.6 crore, as compared to a net loss of Rs 24.6 crore in the year-ago period. The revenue from operations increased to Rs 63.3 crore from Rs 13.2 crore in the year-ago quarter.

Shares of Andhra Cements closed 1.13% lower at Rs 86.05 apiece on the BSE, compared with a 1.49% decline in the benchmark Sensex. The stock has plunged 20.8% on a year-to-date basis and 11.5% in the past 12 months.