IREDA’s shares surged 11.2% to an intraday high of Rs 265.70 on the company’s announcement in an exchange filing that it is exploring options for funding up to Rs 4,500 crore through rights issues, qualified institutional placement, and other ways. The financing will be presented to the board of directors for approval on August 29 by the corporation.
On November 29, 2023, the stock IREDA was introduced to the market, listing at a premium of 56.25% above its issue price. Initially priced at Rs 32 during the IPO, the stock was listed on the BSE for Rs 50.
The firm stated in an exchange filing that it intended “to consider and approve the proposal for raising of funds by way of equity share capital for an amount aggregating of up to Rs. 4500 Crore in one or more tranches through Right Issue, Preferential Issue, Qualified Institutional Placement (QIP), Further Public Offer (FPO), or any other permitted mode or a combination, as may be deemed appropriate, subject to the Statutory or Govt. Approval.”
Comparatively, during the last four trading sessions, the benchmark index, Nifty 50, has increased 1.6%. Over the past month, it has yielded a 1% return. The last six months have seen a 28% increase in investor wealth, and over the last five years, the index has increased value by about 130%.
