Pursuant to the approval accorded by the board of directors of SRF Limited, at its meeting held on August 31, 2020 and special resolution passed by the members of the company by way of postal ballot on October 8, 2020, the QIP Committee has, at its meeting held today, i.e., October 12, 2020, considered and approved the adoption of the preliminary placement document dated October 12, 2020 and the application form in connection with the Issue.

 

The committee also authorised the opening of the Issue today, i.e., October 12, 2020.

 

The QIP Committee has fixed the 'Relevant Date' for the purpose of the Issue as October 12, 2020 and accordingly the floor price in respect of the aforesaid Issue, based on the pricing formula as ₹ 4168.73 per Equity Share. The company may offer a discount of not more than 5% on the floor price so calculated for the Issue.

 

On August 31, 2020, the Board of Directors of the company had approved the raising of funds for an aggregate amount not exceeding Rs. 750 crores through issue of equity shares by way of qualified institutions placement, in accordance with the relevant provisions of applicable law and subject to approval of the company's shareholders and receipt of applicable regulatory approvals.

 

The board also approved raising of funds for an aggregate amount not exceeding Rs. 250 crores through issue of listed redeemable secured non-convertible debentures by way of private placement, in accordance with the relevant provisions of applicable law and subject to receipt of applicable regulatory approvals.

 

The company has recently announced plans for setting up of an additional chloromethane facility to produce 1,00,000 tonnes per annum at Dahej, Gujarat at a projected cost of Rs 315 crore.

  

The Rs. 315-crore investment required for the project will be raised through a mix of debt and internal accruals for the project, it said. The rationale behind the project is the strategic need to expand the industrial chemicals portfolio, it added.