Empee Distilleries in spirited mood

Empee Distilleries announced yesterday after market hours that its Board will b meeting on the 26th of Dec to consider and approve sale of 1,95,12,997 equity shares of Rs. 10/- each held by the Company in Empee Hotels Limited (Unlisted entity).

It is meeting to also amend/ratify/ modify certain clauses in the EGM Notice/Explanatory Statement dated October 27, 2016 (duly passed by Shareholders) to allot 9,39,727 Equity Share Warrants to EW India Special Assets Fund Pte Ltd and 2,27,133 Equity Share Warrants to Edelcap Securities Ltd @ Rs. 64.54 per warrant (price as determined on relevant date i.e. 28/10/2016); on preferential basis.

The market is obviously very enthused with the stake sale news in Empee Hotels and the stock price rose 6% to Rs.56.55. Its 52-wek high and low stands at Rs.107 and Rs.44.50 respectively.

The company which makes Indian-made foreign liquor, had posted a loss of Rs.6 crore for Q2FY17 v/s profit of Rs.5 crore (YoY) and this was on a 31% drop in topline at Rs.125 crore.