Penny Stock GG Engineering Rights Issue Allotment of 49 Cr Shares Finalised, New Order Received

GG Engineering has announced that the board of directors in accordance with the basis of allotment finalized in consultation with BSE and the Registrar to the Issue, the Rights Issue Committee of the company has approved the allotment of 49,88,20,215 fully paid-up rights equity shares of face value of Re 1 each at a price of Rs 1 per rights equity share to the eligible applicants.

A rights issue or rights offer is a subscription that allows its existing shareholders to buy additional shares at a discounted price.

The company invites existing shareholders to purchase additional new shares at a discounted rate. It is an opportunity for shareholders to increase their exposure to the stock at a discount price.

GG Engineering also said that it has received orders valued Rs. 210 million for supplying Iron raw material to prominent Industrial houses.

The company will be completing these supplies within the next 30‐45 days and is anticipating additional orders as well for Q3 of the current financial year.

GG Engineering Limited has been working on a vertical integration strategy, expanding their role in the supply chain of the raw materials, as well as the sales of engineering products in the Steel including Heavy Steel business arenas. The company is eyeing gaining better control and economies in both upstream and downstream functions in the value chain.

The company is also exploring and working on various viable options including alliances and acquisitions to fulfill the goals for achieving Backward as well as forward integration.