Shoppers Stop’s board has approved additional investment in Global SS Beauty Brands (GSBBL), material wholly owned subsidiary of upto Rs 5 crore in one or more tranches, by way of subscription to Right Issue of 500 preference shares i.e. 0.01% Non-Cumulative Optionally Convertible Preference Shares (NOCPS) each at par at face value of Rs 1,00,000 each of GSBBL.
With the approval of the aforesaid investment, total aggregate investment approved by the company in GSBBL as on July 18, 2024 is Rs 60 crore, which includes approved and subscribed by way of right issue to Equity shares of Rs 4.95 crore and Preference shares of Rs 50 crore; and further additional investment of Rs 5 crore approved at the Board Meeting held on July 18, 2024.
The object of the acquisition is to subscribe to NOCPS shares entitlement of the company in the Rights Issue of GSBBL, a material wholly-owned subsidiary company. GSBBL is an SPV of the Company that intends to use the proceeds towards its business of distribution of beauty products. The object is in-line with the beauty products business of the company.
Shoppers Stop is engaged in the retailing business. It runs a chain of departmental stores with brands including Shopper’s Stop, Home Stop, Crossword, Cafes and Restaurants etc.
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