Lakshmi Energy and Foods Ltd. (BSE:519570) announced a private placement of 67,80,000 prepaid warrants on February 22, 2013. The warrants will be issued to Balbir Singh Uppal, an entity within the promoters' group on preferential basis. Each warrant will entitle the holder to purchase one common share of the company within 18 from the date of issuance. The company will receive 25% of the exercise price of the warrants as upfront payment as per the Securities Exchange board of India (Disclosure and Investor Protection, Guidelines 2000) and the balance will be received at the time of exercise of warrants. The warrants will be issued at a price not lower than the price specified in chapter VII of the SEBI Regulations 2009 and on such further terms and conditions specified in the said guidelines. The company will expect to receive shareholder approval for the transaction at the Annual General Meeting scheduled to be held on March 28, 2013.

On April 22, 2013, Lakshmi Energy and Foods Ltd. closed the transaction. The company issued 3,300,000 series 1 warrant and 3,480,000 series 2 warrants at INR 22 per warrant. The company will receive INR 37,290,000 as upfront payment at INR 5.5 per warrant and remaining amount at the time of exercise at INR 16.5 per warrant.