nicco corp..risky but attractive

Nicco Corporation will go in for private placement of 17 per cent of its equity to three financial investors including Sonata Investments, a Reliance-Anil Dhirubhai Ambani Group (R-ADAG) company. The company has approved a preferential allotment of around 57 lakh optionally convertible cumulative preference shares (OCCPs) at Rs 22 each Under the scheme of arrangement, Sonata Investments would be allotted 26,75,404 OCCPs, Niraj Realtor & Shares 26,75,405 OCCPs and Pinky Exhibitors would get 3,74,807 OCCPs. Post-issue persons acting in concert or promoter group would have 23.7 per cent in Nicco. The authorised capital of the company would increase from 6.9 crore shares to 8.9 crore shares. The private placement was part of the financial restructuring exercise of the corporate debt restructuring (CDR) package.

one can buy this with a stoploss of 16.....risky play but still a bit attractive