Ahmedabad-based Nandan Denim Limited (NDL), which is aiming to become Asia?s largest denim fabric manufacturer, is planning to raise Rs 100 crore from foreign investors to finance its expansion plans. The denim player is planning to issue 5 million convertible warrants on preferential basis to foreign investors at Rs 200 each including premium of Rs 190.
Considering the continuous increase in the holding of FIIs / FPIs and various advantages in attracting institutional investors, NDL has proposed to increase the aggregate limit for holding shares by the FIIs / FPIs to 49 per cent from 24 per cent.
Apart from growth plans, NDL expects to fund investment in proposed subsidiary/ies, meet long term working capital requirement and improve capital structure. NDL received shareholders approval for the same at its AGM held recently.