KEI Industries Raises Rs 2,000 Crore Via Share Sale To Over 100 Institutions
KEI Industries approved the issue and allotment of 52.6 lakh equity shares to 104 qualified institutional buyers.
KEI Industries Ltd. mopped up Rs 2,000 crore via qualified institutional placements at an issue price of Rs 3,800 per share, with two mutual funds picking up over 40% of the issue through multiple schemes.
The issue price for the share sale was set at a discount of Rs 80.54 apiece to the floor price, according to the exchange filing by the company on Thursday.
The electrical wires and cables manufacturer approved the issue and allotment of 52.6 lakh equity shares to 104 qualified institutional buyers.
Post the share sale, the paid-up equity share capital rose to Rs 19.1 crore, consisting of 9.55 crore shares from Rs 18.05 crore consisting of 9.02 crore shares.
Through multiple schemes, Kotak Mutual Fund mopped up over 27% of the issue while Motilal Oswal Midcap Fund picked up 13% in the QIP.
The cables manufacturing firm recorded a net profit of Rs 155 crore for the quarter ended September, as compared to Rs 140 crore in the same quarter last year, according to its stock exchange notification.
Revenue increased by 17% year-on-year for the three months ended June, reaching Rs 2,280 crore. The Ebitda margin contracted to 9.7%, in comparison to 10.4% in the same period last year.
Shares of KEI Industries have risen 53% during the last 12 months and have advanced by 32% on a year-to-date basis. The relative strength index was at 62.
Of the 18 analysts tracking the company, 12 have a 'buy' rating on the stock, four suggest a 'hold' and two have a 'sell', according to Bloomberg data. The average of 12-month analysts' price target implies a potential upside of 14.5%.
