Speciality chemicals major Vikas Lifecare announces allotment of 24.25 crore warrants on preferential basis

High-end speciality chemicals major Vikas Lifecare has announced an allotment of 24.25 crore of fully convertible warrants at an issue price of Rs 4 per warrant.

"Allotment of 24,25,00,000 (Twenty Four Crores Twenty Five Lakhs) fully Convertible Warrants ('Warrants'), carrying a right exercisable by the Warrant holder to subscribe to one Equity Share per Warrant, to 'Promoter' on preferential basis at an issue price of Rs. 4/- (Rupees Four Only) per warrant, after receipt of subscription amount being 25% of the issue price," said Vikas Lifecare in a stock exchange filing.

The exchange filing said that the warrants entitle the allottee to apply for and be allotted an equal number of equity shares for each warrant held by them on payment of a balance 75 per cent of the issue price within 18 months from the date of issue of these warrants.   

Meanwhile, Vikas Lifecare's subsidiary has won an order for the most advanced state-of-the-art Ultrasonic Gas Meters. According to the company, Ultrasonic meters are being replaced worldwide to bring down commercial gas losses (LUAG).

"These meters are a super specialty product, based on the world renowned Ultrasonic Technology which has been tried and approved in the most testing conditions and critical sites worldwide," the company said in an exchange filing. 

Earlier, the recycling player's subsidiary bagged an order worth Rs 495 million from Gujarat Gas Limited, India’s largest city gas distribution (CGD) company. 

According to an exchange filing, Genesis Gas Solutions has been awarded orders to supply 40,000 gas meters from Gujarat Gas.

Vikas Lifecare is a del-credere agent of ONGC which contributes around 71 per cent to the total domestic production. It recently entered into a joint venture agreement with Indraprastha Gas Limited (IGL) to set up India's first integrated smart meter manufacturing unit. The manufacturing plant is being set up jointly by the two companies at a capital expenditure of Rs 110 crore. Notably, the government has launched a smart metering initiative to install 250 million smart meters across the country by 2025.