Prakash Industries update on power company

With reference to the news item appearing in a leading web portal titled "Prakash Ind may raise Rs 1000 cr via SPV Prakash Thermal Pwr:Sources", Prakash Industries Ltd has clarified to that the news has been released by them on their assumptions only and the Company has not given any information or given any facts to them in this regards. However, the Company has signed an MoU with Madhya Pradesh State Government for setting up 1000 MW power plant in the State for which the Company has already intimated to the Stock Exchange.

Prakash Industries gets non-coking block

Prakash Industries Ltd has informed that Government of India, Ministry of Coal has allotted a non-coking block to the Company i.e. Fatehpur Coal Block in the State of Chhattisgarh for captive use. The Coal block has been allotted for the expansion of capacities in the power plant of the Company to the extent of 625 MW. The coal reserves in the block are estimated to be in excess of 45 Mn. MT.

Prakash Industries MoU with Madhya Pradesh Govt

Prakash Industries Ltd has informed that the Company has entered into a Memorandum of Understanding (MOU) with the Government of Madhya Pradesh on October 27, 2007 to establish and operate 1000 MW Thermal Power Station at Sohagpur, Distt. Shahdol in the State of Madhya Pradesh with an investment of approximately Rs 4500/- Crores (Rupees Four Thousands Five Hundred Crores.)

The Company would be entitled to wheel the power through MP Transco / Other Grid Lines or its own dedicated lines for its own use or for its customers.

Prakash Industries

Prakash Industries Ltd has informed that the members at the 26th Annual General Meeting (AGM) of the Company held on September 05, 2007, inter alia, have authorised the Board of Directors of the Company to offer, issue and allot in one or more tranches and upon such terms and conditions and in such manner as may be deemed appropriate by the Board, not more than 12135990 Warrants at a price of Rs 68 per warrant with an option to subscribe to one Equity Share of Rs 10 each per warrant (i.e. at a premium of Rs 58 per share) to Barclays Capital Mauritius Ltd or its nominee(s) by way of preferential allotment.

Prakash Industries

Prakash Industries Ltd has informed BSE that the members at the Extra Ordinary General Meeting (EGM) of the Company held on September 19, 2007, have passed the resolutions for issue of 50,00,000 warrants to Amarjoti Vanijya Pvt Ltd and 5,55,556 warrants to Barclays Capital Mauritius Ltd., or its nominees respectively convertible into equity shares on preferential basis.