Wockhardt approaches shareholders to raise up to Rs 1,200 crore

Drug firm Wockhardt Ltd has sought shareholders' approval for raising up to Rs 1,200 crore through issuance of non-convertible debentures (NCDs) on private placement basis.

The company said it will utilise the money to re-pay or pre-pay term loan availed by it and for general corporate purposes.

In a notice for AGM, Wockhardt said: "Consent of the company... is hereby accorded to the Board of Directors... to offer, issue and allot secured/unsecured redeemable non-convertible debentures (NCDs) on a private placement basis in one or more series/tranches, up to an amount not exceeding Rs 1,200 crore."

Elaborating, it said: "In order to re-pay/pre-pay term loan availed by the company and for general corporate purposes, it is proposed to issue secured/unsecured, redeemable, non-convertible debenture on private placement basis for an amount not exceeding Rs 1,200 crore in one or more tranches."

Wockhardt's AGM is scheduled to be held on August 13.

The stock of Wockhardt traded at Rs 953.10, up 0.25%, on BSE at 1123 hours.