Outcome of Board Meeting

• Security Code: 522163
• Company: DIACABS

Diamond Power Infrastructure Ltd has informed BSE that the Board of Directors of the Company at its meeting held on May 16, 2016, commenced at 11.00 a.m. and concluded at 2.05 p.m., reviewed in detail the debt realignment plan as suggested by Company’s appointed advisors Ernst & Young (EY) which was mandated to suggest a plan to

- Assist in facilitating the entire debt re-alignment process to make it sustainable for the existing business

- To raise a minimum of Rs 600 crores towards working capital purposes for scaling up operations of the Conductors and Cables plant (existing + new)

In the meantime, the Company has received an Investment proposal from Jiangsu Longzhe Technology and Trade Development Company Ltd & their associates based out of China to invest USD 125 MN

The Board of Directors of the Company reviewed the Restructuring proposal & investment proposal from Jiangsu Longzhe Technology and Trade Development Company Ltd.

Since the entire process of debt re-alignment has several options and depends upon the decision of the Bankers, the Board of Directors comprising of three Independent Directors has been authorised to take a decision on the following issues.

1. To take a decision on business and debt re-alignment based on the recommendation of its advisors and approval of the lenders & accordingly re-align business or debt as may be accepted by the lenders of the Company.

2. A committee of directors named as "Re-alignment Committee" is authorized to offer shares in the Company to Jiangsu Longzhe Technology and Trade Development Company Ltd &/or its corporate bodies associated with them in line with guidelines laid down by various statutory authorities & subject to approval of companies shareholders and lenders & or its subsidiaries through a Partially convertible Instrument with a coupon rate for debt & for the equity portion at rate to be decided as per the guideline issued by SEBl from time to time but the same shall not be less than Rs. 103.50 per equity share with face value of Rs. 10 per share not exceeding 51% of the companies equity aggregating Rs. 825 cr (125 Mn USD) on approval of the debt realignment process by banks as accepted by Investor.