This will increase the holding of the NRIs/OCBs to 24 per cent from the existing level of one per cent. The fresh issue of equity is understood to be made through preferential allotment of shares. The company has convened an emergency general meeting at Palakkad, Kerala, on Friday to obtain shareholders approval to allot shares to NRIs/OCBs for this purpose.

BPL has an equity base of Rs 26.94 crore in which the Nambiar family and directors hold almost 66 per cent. Of the balance, public holds close to 17 per cent while institutions and mutual funds hold four per cent stake each.

Market leader in televisions and frost-free refrigerators, BPL had reported sales turnover of Rs 1,746 crore in the financial year 1997-98 with net profit of Rs 85.5 crore. In the half year ended September 1999, the company has betteredits performance reporting sales income of Rs 914 crore with net profit of Rs 41.1 crore.

The BPL scrip is trading at approximately Rs 170 as against the 52-week high of Rs 449 and low of Rs 85. BPL is reportedly working on gradually retiring its entire debt liabilities. As of March 1998, the company's total borrowing aggregated to Rs 406.5 crore, which consisted of Rs 284.6 crore secured loans and Rs 121.94 crore of unsecured loans. Last year, the company paid Rs 42 crore as finance charges on these borrowings.

It is further understood that under the debt restructuring plan, BPL has already brought down its liabilities to banks to Rs 66.01 crore from Rs 122.33 crore during 1997-98. Additionally, the company has issued preference shares aggregating Rs 25 crore each to Industrial Development Bank of India and House Development Finance Corporation.