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News about Deccan Aviation Limited - National Stock Exchange of India Limited

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News about Deccan Aviation Limited - National Stock Exchange of India Limited

October 31, 2006

The media had reports that Deccan Aviation Limited is to issue equity shares to Investec Bank (UK) Ltd on preferential basis at Rs 150/share.

The Exchange, in order to verify the accuracy or otherwise of the information reported in the media and to inform the market place so that the interest of the investors is safeguarded, had written to the officials of the company.

Deccan Aviation Limited has vide its letter inter-alia stated "The proposed issue of Shares on preferential basis to Investec Bank (UK) Ltd. as considered and approved by the Board of Directors of the Company, is in terms of the SEBI Guidelines and the price shall be determined as per the guidelines, The Board however, suggested that if a price of at least Rs. 150/- per Equity Share, which is the original price around the lower band of about Rs. 150/- to Rs. 175/- as offered in the IPO of the Company, it would enable the Company to raise additional funds. The matter was to be taken up for discussions with the proposed Investor, provided however, that the price that may be worked out under the SEBI Guidelines is lower than the price suggested by the Board."

Source: National Stock Exchange of India Limited

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