The shares of Anil Ambani led Reliance Infrastructure on Friday (September 20) experienced a significant surge by more than 12 per cent, reaching a new 52 week high of Rs 320.40 apiece on the National Stock Exchange (NSE).
This recent surge in the stock prices was in response to the company's board approval of a major fundraising inititiative.
During the intraday trading, the company shares at 12:57 pm IST were trading at 307.99, up by 8.11 per cent.
The shares of the company today opened at Rs 284.65, reached a high of Rs 320.40, and recorded a low of Rs 281.81. The company’s market capitalisation stands at Rs 12,190 crore. The stock's 52-week high is Rs 320.40, while its 52-week low is Rs 144.45.
Share performance |
Board Approves Rs 3,014 Crore Preferential Issue
According to the regulatory filing, Reliance Infrastructure on September 19 announced that the board of Directors at the meeting held has greenlit plans to raise Rs 3,014.4 crore through a preferential issue of up to 12.56 crore equity shares.
The issue, priced at Rs 240 per share, will involve participation from both promoter and non-promoter entities.
Anil Ambani | File Photo
The preferential shares will be offered to Risee Infinity Private Limited, a promoter group entity, and two non-promoter entities, Florintree Innovation LLP and Fortune Financial & Equities Services Private Limited.
These investors are set to inject substantial capital into the company, with former Blackstone executive Mathew Cyriac’s Florintree Innovation and equity investor Nimish Shah’s Fortune Financial & Equities Services contributing Rs 1,200 crore for a minority stake. The remaining Rs 1,814 crore will be provided by Risee Infinity, added the company in the BSE filing.
Reliance Infrastructure | Representative Image
"The Preferential Issue proceeds would be utilised for Expansion of Business Operations directly and/or through investment in subsidiaries and joint ventures including meeting the long-term working capital requirements and for general corporate purposes," the company added in the release.
Furthermore, the company in the exchange filing added, "Preferential Issue will enhance the Company’s networth from over Rs 9,000 crore to over Rs 12,000 crore. The Company has near ZERO debt. The enhanced capital will support the Company’s participation in high growth sectors to aid the Government’s vision of ‘Make In India’ and ‘Viksit Bharat’."
