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Hindustan Construction Company (HCC) has decided to issue equity shares as well as optionally convertible debentures (OCDs) to lenders under RBI's S4A scheme. The Board of Directors, in the meeting held on December 02, has approved issuance of Rs 25.19 crore equity shares of the company, of face value Rs 1 each, representing 24.44% of the expanded share capital of the company and such Optionally Convertible Debentures (OCDs) of face value Rs 1000 each not exceeding Rs 2,000 crore on Preferential Basis, to the Lenders.

The Board decision to issue the aforesaid securities is pursuant to implementation of the HCC S4A Scheme, in accordance with Chapter VII of SEBI (ICDR) Regulations, 2009 and other applicable provisions of the Companies Act, 1956, subject to shareholders' approval. The Board also decided to convene an Extraordinary General Meeting of the company on January 5, 2017 for seeking shareholders' approval for the aforesaid matter. HCC is the first company to get its debt restructured under the S4A scheme.

The Board has also approved Rs 2,100 crore Bank Guarantee (BG) limits for release of arbitral award amount as per Cabinet Committee on Economic Affairs (CCEA) approval for revival of the construction sector directing government agencies to pay ‘75% of the arbitral award amount against margin free bank guarantee’. Recently, the company has received communication from government agencies to submit BG and Escrow Account details for release of 75% of Arbitral awards. HCC has arbitration awards for Rs 3,427 crore as of September 30, 2016. Further claims worth around Rs 4,173 crore are in arbitration process.

HCC is a leader in engineering and construction space. The company has established a vast presence and gained recognition in the sectors of Hydro Power, Water Solutions, Transportation and Nuclear Power.

HCC Share Price

19.09 0.18 (0.95%)
17-Apr-2026 16:59 View Price Chart
Peers
Company Name CMP
Larsen & Toubro 4094.95
Rail Vikas Nigam 303.10
NCC 161.30
KEC International 580.10
Kalpataru Projects 1232.90
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