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NOTICE TO MEMBERS

 

NOTICE is hereby given that a General Meeting of the Members of CESC Limited will be held at Kala Mandir, 48 Shakespeare Sarani, Kolkata - 700 017, on Wednesday, 21 April, 2004 at 11 A.M. or immediately after the conclusion of a meeting of the Equity Shareholders of the Company convened under the direction of the Hon'ble High Court at Calcutta at 10.00 A.M. on the same date and at the same venue, whichever is later, to consider and, if thought fit, to pass, with or without modifications, the following Resolutions :

 

1.   AS A SPECIAL RESOLUTION

     "RESOLVED

 

                    i.      THAT pursuant to the provisions of Section 81 (1A) and other applicable provisions, if any, of the Companies Act, 1956 and in accordance with the provisions of the Memorandum and Articles of Association of the Company and listing agreements entered into by the Company with the Stock Exchanges and subject to the guidelines and approvals of the Securities and Exchange Board of India (SEBI) and the approval of the Reserve Bank of India, if necessary, and also subject to such other consents, approvals and permissions as may be necessary, consent of the Company be and is hereby accorded to the Board of Directors of the Company (hereinafter referred to as "the Board" which expression shall be deemed to include any Committee which the Board may constitute to exercise its powers) to offer for subscription, issue and allot up to 82,69,788 New Equity Shares of Rs. 10/- each in the capital of the Company (hereinafter referred to as “the Rights Shares") ranking pari passu in all respects with the Existing Shares for cash at a premium of Rs. 50/- per share on Rights basis to the holders of Equity Shares of the Company (hereinafter referred to as "the Members") whose names shall appear on the Register of Members of the Company or on the list of depositories as beneficial owners as at the close of business on such date as may be determined by the Board (hereinafter referred to as “the Record Date") or to the renouncees in whose favour the offer of the Rights Shares may be renounced, in full or in part, by the Members and who may or may not be the Members of the Company;

 

                  ii.      THAT the aforesaid offer of the Rights Shares for subscription be made in the first instance to the Members in proportion of one Rights Share for every eight existing Equity Shares registered in their respective names on the Record Date with an option to those Members who apply for the whole of the shares so offered to them to apply for additional shares;

 

                 iii.      THAT the Rights Shares be offered for subscription to the Members as aforesaid by a Letter of Offer specifying the number of shares to which they are entitled (fraction of a Rights share being disregarded) and providing therein that the offer if not accepted within such time as may be specified in the Letter of Offer or within such further time as may from time to time be extended by the Board shall be deemed to have been declined;

 

 

                 iv.      THAT any Rights Share so offered and not taken up by any of the Members as aforesaid (or their renouncees) in response to the aforesaid offer and the Rights Shares available from consolidation of fractions shall be available for allotment to those Members who take up their rights In full pursuant to the aforesaid offer and apply for additional shares PROVIDED that in the event of the additional shares applied for exceeding the number of shares available for allotment or in the event of any of the Rights Shares remaining unsubscribed, the allotment or disposal thereof, as the case may be, shall be made in such manner as the Board may determine to be beneficial to the Company;

 

                   v.      THAT for the purpose of giving effect to this Resolution, the Board or such of the Directors as the Board may empower for the purpose be and are hereby authorized to give such directions as they may think fit or proper including directions for finalizing the forms relating to the issue, settling any question, doubt or difficulty that may arise in regard to the aforesaid offer and/or the issue or allotment of the Rights Shares and to do all such acts, deeds, matters or things as the Board or the Directors authorized by the Board for the purpose or any of them in their /his absolute discretion may consider necessary, expedient, usual or proper including but not limited to securing the necessary approvals for the issue, deciding on the terms of payment for the Rights Shares including amount to be paid on application, allotment and calls, finalizing the details of allotment, listing of the Rights Shares in all or any of the Stock Exchanges where the existing Equity Shares are already listed, appointing Lead Managers/Managers, Consultants, Advisors, Bankers, Registrar, Brokers, Printers and other agencies and settling all matters incidental or consequential to all or any of the above matters and/or such other matters as may be necessary for giving effect to this Resolution;

 

                 vi.      THAT the Board be and is hereby specifically authorised to decide, accept, agree to any alteration in the size of the issue, the price payable on the Rights Shares, the amount of premium thereon or such other terms and conditions of the SEBI or other concerned authorities or as per applicable guidelines from time to time without requiring any further approval of the Members of the Company."

 

 

 

2. AS AN ORDINARY RESOLUTION

 

“RESOLVED THAT the consent of the Company be and is hereby accorded in terms of Section 293(l)(a) and other applicable provisions, if any, of the Companies Act, 1956 to mortgaging and/or charging by the Board of Directors of the Company ("the Board") of all the immovable and movable properties of the Company, wheresoever situate, present and future, to or in favour of all or any of the following lenders/ trustees:

 

a.         ICICI Bank Limited (ICICI Bank), Industrial Development Bank of India (IDBI) and IFCI Limited to secure their Term Loans comprising a rupee component of not exceeding Rs.161,00,00,000 (Rupees One hundred and sixty-one crore) and the rupee equivalent of Pounds Sterling 18,066,587 (Pounds Sterling Eighteen million sixty-six thousand five hundred and eighty-seven)

 

b.         UCO Bank (UCO) to secure its Term Loan not exceeding Rs. 75,00,00,000 (Rupees Seventy Five Crore);

 

c.         IDBI Trusteeship Services Limited as Trustees for the holders of Non-Convertible Debentures of the aggregate nominal value of Rs. 479,25,02,000 (Rupees Four Hundred Seventy Nine Crore Twenty Five Lakh and Two Thousand) privately placed with ICICI Bank, IDBI, Life Insurance Corporation of India and Indian Bank;

 

d.         IDBI as holder of Non-Convertible Debentures of the aggregate nominal value of Rs. 44,28,11,181 (Rupees Forty Four Crore Twenty Eight Lakh Eleven Thousand One Hundred Eighty One), and

 

e.         Punjab National Bank as Trustees for the holders of Non-Convertible Debentures of the aggregate nominal value of Rs. 12,00,00,000 (Rupees Twelve Crore) held by ICICI Bank.

 

 

to secure the said Term Loans and Debentures together with interests, charges, expenses and all other monies payable by the Company in respect thereof in terms of respective Letters of Sanction/ Loan Agreements/ Hypothecation Agreements/ Loan Restructuring or Amendatory Agreements/ Facility Agreements/ Subscription Agreements/ Debenture Trust Deeds or any other agreement/ document or any amendment thereto entered/ to be entered into by the Company with the aforesaid lenders/ trustees so that the mortgage and/ or charge may be created by the Company in favour of the said lenders/ trustees in such form and subject to such prior charges or with such pari passu ranking of charges as may be decided by the Board in consultation with these lenders/ trustees.

 

AND FURTHER THAT the Board be and is hereby authorised to finalise and execute with the said lenders/ trustees all such deeds and documents for creating the aforesaid mortgage and/ or charge and to do all such acts, deeds and things as may be deemed necessary for giving effect to the aforesaid Resolution."

 

 

Registered Office :

 

CESC House

By Order of the Board

Chowringhee Square

 

Kolkata 700 001

Subhasis Mitra

Date : 9 February 2004

Company Secretary

 

NOTES :

 

A.      A member entitled to attend and vote at the Meeting is entitled to appoint a Proxy to attend and vote in his stead. A Proxy need not be a Member of the Company. Proxies, in order to be effective, must be received by the Company not less than 48 hours before the time for holding the Meeting.

 

B.      An Explanatory statement pursuant to Section 173(2) of the Companies Act, 1956 is annexed hereto.

 

 

 

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Last updated on 3rd April , 2004