The announcement was made after market hours on Monday, 14 July 2014.

Meanwhile, the S&P BSE Sensex was up 219.77 points or 0.88% at 25,226.75.

On BSE, so far 2.74 lakh shares were traded in the counter as against average daily volume of 7.05 lakh shares in the past two weeks.

The stock hit a high of Rs 78.30 and a low of Rs 75.70 so far during the day.

Orchid Chemicals & Pharmaceuticals (Orchid) said that the board of directors of the company at its meeting held on 14 July 2014, approved the issue of shares to promoters on a preferential basis pursuant to the conditions of CDR package sanctioned to the company by corporate debt restructuring cell. The consent for the same from the shareholders is being sought through postal ballot for which the notice will be sent shortly, Orchid said.

Orchid Chemicals & Pharmaceuticals reported a net loss of Rs 80.79 crore in the quarter ended 31 March 2014, lower than net loss of Rs 132.27 crore in the quarter ended 31 March 2013. Net sales rose 67.2% to Rs 448.46 crore in the quarter ended 31 March 2014 over the quarter ended 31 March 2013.

Orchid Chemicals & Pharmaceuticals is involved in the development, manufacture and marketing of diverse bulk activities, formulations and nutraceuticals.