Pyramid Saimira Theatre, which is engaged in the entertainment business, today said it will issue over 99.20 lakh free shares of its production company to its shareholders, as part of an restructuring exercise.
The board of directors of the company, at a meeting today, approved a proposal entailing the transfer of 99,20,488 shares, held by Pyramid Saimira Theatre in its production firm Pyramid Saimira Production International to the shareholders of the company.
As per the agreement, for every three shares held in Pyramid Saimira Theatre, shareholders would receive one share of Pyramid Saimira Production International, the company said in a filing to the Bombay Stock Exchange.
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Pyramid Saimira Theatre shareholders would get 99,22,488 shares, amounting 18 per cent of post issue capital of PSPIL.
The board also reserved 29,94,462 shares to FCCB holders and 8,35,050 shares to secured creditors of the company.
Moreover, in a bid to expand business, Pyramid Saimira Theatre, had decided to get strategic partners in its subsidiary companies. Accordingly, The company had inducted RDB Group as co-promoters in its production firm Pyramid Saimira Production International.
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As part of the alliance, Pyramid Saimira Productions International and RDB Group would produce 28 films and 1785 hours of TV content for 2010-2011.
Shares of the company closed at Rs 23.25, down 1.06 per cent on the BSE.