Oil and Natural Gas Corporation Limited (ONGC) board approved the additional investment planned in OPaL which will raise the company’s ownership in OPaL to 92%.
What Happened: The Board of Directors of ONGC has given the green light for significant investments in ONGC Petro additions Limited (OPaL), the company informed the exchanges in a regulatory filing.
The board meeting, which took place on Wednesday, August 21, 2024, saw the approval of an investment of ₹86.281 crore for the payment of balance call money and a buy-back of Compulsorily Convertible Debentures (CCDs) worth ₹7,778 crore from financial institutions, banks, mutual funds, and other holders.
See Also: CDSL Appoints JP Morgan Chase’s Nilesh Lodaya As Chief of Business Development And New Projects
These investments have been made following the Ministry of Petroleum & Natural Gas, Government of India’s approval for an additional equity infusion to ensure the viability of OPaL. The Indian government had approved ONGC’s plan to invest ₹18,365 crore into OPaL.
ONGC’s equity stake in OPaL, currently at 49.36%, will surge to 81.28% after the conversion of warrants into equity shares. The subsequent conversion of CCDs into equity shares will further boost the stake to 92.27%.
Read Next: BEML Signs Agreement With Indian Navy To Boost Indigenous Marine Engineering, Shares Jump
Engineered by Benzinga Neuro, Edited by Ananthu CU
The GPT-4-based Benzinga Neuro content generation system exploits the extensive Benzinga Ecosystem, including native data, APIs, and more to create comprehensive and timely stories for you. Learn more.
Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.