Blue Star Shares Surge 18% To A Record On Rs 1,000-Crore QIP

Shares of Blue Star Ltd. jumped over 18% to hit an all-time high after its board approved raising Rs 1,000 crore through qualified institutional placement.

The company has set the floor price for the QIP at Rs 784.55 per share, according to an exchange filing. The executive management committee will meet on Sept. 22 to consider the issue price of the equity shares.

Shares of the company jumped 18.34% to hit an all-time high of Rs 946.8 apiece intraday. It pared gains to trade 15.49% higher at Rs 924 per share as of 1:09 p.m. This compares to a 0.99% decline in the NSE Nifty 50.

It has risen 54.02% on a year-to-date basis. Total traded volume so far in the day stood at 85 times its 30-day average. The relative strength index was at 81.4, implying that the stock maybe overbought.

Out of the 24 analysts tracking the company, 16 maintain a 'buy' rating, six recommend a 'hold', and two suggest a 'sell' on the stock, according to Bloomberg data. The average 12-month consensus price target implies a downside of 11.5%.