Veranda Learning Solutions gets nod to raise Rs 300 crore

(Representative image)

Public listed EdTech company Veranda Learning Solutions Ltd on Thursday said it has received an approval from the Board of Directors for a preferential issue to raise Rs 300 crore.

The fund-raising is through a mix of preferential offer of equity shares and convertible warrants both at a price of Rs 307 per share, said a statement of the company.

"Veranda Learning Solutions announced that the Board of Directors at its meeting held on September 14 has approved subject to the approval of shareholders a preferential issue to raise Rs 300 crore," said the statement.

"The fund-raising includes an investment of Rs 61.40 crore to be subscribed by the promoters in the form of convertible warrants," it said.

The company has secured approvals from the shareholders at the extraordinary general meeting on May 27 to raise debt in the form of NCDs (non-convertible debentures)/bonds and other instruments up to Rs 1,000 crore.

"This debt and equity fund-raising together will be used to fuel in organic growth through acquisitions," it said.

"We are pleased with the response to the private placement and the success of the fund-raising places Veranda in a unique position with the necessary war-chest to fuel the next leg of growth," said chairman and executive director of the company Kalpathi S Suresh said.

"At Veranda, our objective is to provide the highest quality education possible at an affordable price. To that end, we are building an eco system to strengthen our offerings through a judicious mix of high-quality content propelled by cutting-edge technology which we believe will take Veranda to greater heights," he said.