Andhra Cements - Outcome Of EGM

Andhra Cements Ltd has informed that the members at the Extra Ordinary General Meeting (EGM) of the Company held on August 21, 20007, have considered and approved the following:

1. Increase of Authorised Capital from Rs 125,00,00,000/- divided into 12,00,00,000 Equity Shares of Rs 10/- each and 5,00,000 Cumulative Redeemable Preference Shares of Rs 100/- each, to Rs 140,00,00,000/- divided into 13,50,00,000 Equity Shares of Rs 10/- each and 5,00,000 Cumulative Redeemable Preference Shares of Rs 100/- each.

2. Alternation of Memorandum and Articles of Association of the Company with regard to the Increase of Authorised Capital from Rs 125 crores to Rs 140 crores.

3. Issue of Equity Shares by way of preferential allotment upto 154,10,000 fully paid up equity shares of Rs 10 each, at a price of Rs 28.60 per equity share (i.e. at a premium of Rs 18.60 per share) and the aggregate amount so issued shall not exceed Rs 44.08 crores, as per the price based on the guidelines for preferential issues issued by SEBI under SEBI (Disclosure & Investor Protection) Guidelines, 2000, on such other terms and conditions, as the Board may deem appropriate in its absolute discretion to Infrastructure Development Finance Company Ltd (IDFC) and the Promoters / Associate Companies (Promoters).

4. Increase of Borrowing Powers of Board of Directors of the Company from Rs 300 crores toRs 1000 crores.