In a filing to the exchanges, Godawari Power & Ispat has revealed the outcome of the board meeting held on September 14, 2021, saying that In compliance with Regulation 30 of Securities and Exchange Board of India (Listing Obligations & Disclosure Requirements) Regulations, 20 IS ("LODR Regulations") we have to inform that Board of Directors of Godawari Power & Ispat Limited ("the Company") in their meeting held today i.e., 14thSeptember 2021 have approved the following proposal:
1. Withdrawal of Scheme of Arrangement with Jagdamba Power & Alloys Ltd: It is decided to withdraw the Soheme of Arrangement for dernerger of Power Business Undertaking of Jagdamba Power & Alloys Limited ("Demerged Company") and merge into Godawari Power & Ispat Limited ("Resulting Company") (hereinafter referred to as 'Scheme') approved by the Board of Directors in their meeting held on 24th December, 2019.
2. Withdrawal of proposaJ for divestment of equity stake in GGEL: The Board of Directors of the Company in its meeting held on 01.05.2021 had approved proposal for divestment its entire shareholdings in GGEL, subject to approval of the shareholders of the Company, being a non core business and utilize the proceeds towards repayments of its outstanding debts. Subsequently, the proposal was also approved by the shareholders of the Company in their meeting held on 12.06.2021.
3. Proposal for purchase of 56 lacs equity shares of GGEL held by External Investors: The board approved the proposal for purchase 56 Lac equity shares of Godawari Green Energy Limited (GGEL) comprising of 22.18% of fully diluted equity capital of GGEL from external Investors at price of Rs.1 02 per share.
4. Proposal for sub-division of each Equity Share of Face Value of Rs.I0 each into 2 Equity Shares of Rs.5 each: The board approved the proposal for sub-division of equity share of face value of Rs.1 0 each of the Company into 2 equity shares of Rs.5 each, subject to approval of the Shareholders of the Company. The split is being considered to improve the Liquidity of the Company's Share on the Stock Market and also to facilitate small investors to deal in our shares.
5. Proposal for issue Bonus Shares: In order to further improve the liquidity in shares of the Company and larger participation in equity shares of the Company by public shareholders and reward the long term shareholders of the company, it has been decided to issue bonus shares in the ratio of I: I by capitalizing the free reserves after the proposal for split of the shares is approved by the Shareholders of the company.