MUMBAI: Multiplex operator Fame India, which has been at the centre of storm after Inox acquired majority stake, is planning to raise up to Rs 900 million via rights issue.

The company said Tuesday its board has approved the plan.

“The board of directors of the company at its meeting held on 19 April has accorded to issue equity shares on rights basis to the existing equity shareholders of the company up to Rs 900 million,” Fame said.

The board has constituted a right issue committee of directors and delegated all the powers to decide about the ratio of the issue, the issue price, appointment of merchant banker and all other matters required or necessary in connection with the issue.

It may be recalled that Reliance ADAG had made an aggressive counter offer to challenge Inox‘s acquisition.

The shares of Fame India breached upper circuit to close at Rs 62.70 on the BSE, 4.94 per cent up from the previous day.