Asian Granito plans to reduce debt by around Rs.100 carore

Mumbai 24 March 21 : Asian Granito India Limited (AGIL), one of India?s leading tiles brands is planning a major debt reduction and focusing on asset light and capital light business model. Company is reducing debt by around Rs. 40-45 crore in the near future and further reduction of Rs. 50-60 crore in next 1-2 years, thereby eyeing a total debt reduction of around Rs. 100 crore. Proceeds from warrants and internal accruals will be utilised to reduce the debt. Post conversion of the warrants, promoter group holding is expected to increase to around 37.5% from 34.02% as of December 2020.

Company is expecting to receive Rs. 41.85 crore from warrants issued to promoter and non promoter groups. Warrants are maturing on April 7, 2021, whereas the company expects to receive the same in the next few days. Entire proceeds of warrants will be used to repay debt. Company had issued 47 lakh warrants on preferential basis to promoter and non-promoter group in September 2019 at Rs. 180 per warrant to meet future expansion plans, debt reduction, meet working capital requirement and improve capital structure. Consolidated Debt of Asian Granito India Ltd as on 31 March 2020 was Rs. 308.9 crore.

Mr. Kamlesh Patel, Chairman and Managing Director, Asian Granito India Ltd said, \"We hope to receive the outstanding amount towards the issued warrants and complete the due diligence before 31 March 2021. Post conversion of the warrants promoter holding will increase to around 37.5%. For the next phase of growth we are focusing on Asset light and Capital light business model, becoming a strong retail brand in the domestic as well as exports market and achieve leadership position in key business segments. Company is also expanding its business network in over 120 countries from 100 currently.?

User :- Pankaj Pethe

Email :-pankajpethe111@gmail.com

Mobile:- 9773113958