The board of Sterlite Technologies Limited (STL) has approved raising funds of up to Rs 10 billion.
As per a regulatory filing, the board has approved the fundraising by the issue of equity shares, any financial instruments and/or security convertible into equity shares, combination of such securities by way of or more public and/or private offerings, qualified institutions placements and/or preferential allotments and/or rights offering for an aggregate consideration of up to Rs 10 billion.
In addition, the company’s board of directors has approved the demerger of the global services business into a separate legal entity, on a going concern basis. This decision, once approved by the shareholders and regulators, will create an industry-leading business that will drive large-scale network and IT infrastructure projects with sharp customer focus and agility. The shareholding of STL and the new entity will mirror each other and the new entity will be publicly listed.
