The Electricity Regulatory Commission has given preliminary approval to Api Power Company Limited (API) to issue 16,533,137 units of right shares.
On February 2, the board of directors proposed issuing 40% of the paid-up capital in right shares.
After adjusting for 7.5% bonus shares, the company’s paid-up capital will be Rs. 4.13 Arba.
As a result of the 1:0.40 (40% rights issue), the company’s paid-up capital will be increased to Rs. 5.78 Arba.
The company proposed issuing the right shares to pay off the debt of the projects that it is producing.