Renata plc, a listed pharmaceutical and chemical company, has decided to issue preference shares. The company will raise Tk. 325 crore from the market by issuing these shares.
The decision to issue the preference was taken at the 231st meeting of Renata’s board of directors held on Saturday (November 23). This information is known from company sources.
According to sources, the discussed preference shares will be non-participative. That is, the owners of these shares cannot participate in the Annual General Meeting (AGM) of the company, they will not have any voting rights. These preference shares may be fully redeemed at the end of the term, and may also be fully convertible into ordinary shares. The company will have jurisdiction over the matter. The money raised through the preference share issue will be used to repay the existing debt of the company.
Renata will hold a special general meeting (EGM) to seek shareholders’ views on the preference share issue. This EGM will be held on January 12 at 12 noon. This EGM will be held through digital platform. The record date for this has been fixed on 12 December.
The decision to issue the bonds will be effective subject to the approval of the shareholders at the upcoming EGM and subsequent approval of the regulatory body Bangladesh Securities and Exchange Commission (BSEC).
