Azad Engineering Raises Rs 700 Crore Through QIP
The board approved the allotment of 54.68 lakh shares at an issue price of Rs 1,280 apiece.
Azad Engineering Ltd. raised Rs 700 crore on Monday via a qualified institutional placement of shares.
The board approved the allotment of 54.68 lakh shares at an issue price of Rs 1,280 apiece, a discount of 1.77% to the floor price of Rs 1,303.08. The QIP opened for bidding on Feb. 25, according to an exchange filing.
The placement document has been adopted, and the board has approved and finalised the confirmation of the allocation note to be sent to eligible qualified institutional buyers. The company will intimate stock exchanges about the list of investors.
Azad Engineering is also among the first batch of 100 stocks eligible for the T+0 settlement cycle, which was introduced by the National Stock Exchange of India from Jan. 31. Other notable names in this list include Raymond Ltd. and Mahanagar Gas Ltd.
The Securities and Exchange Board of India had earlier announced that the T+0 settlement cycle will be phased in for the top 500 stocks by market capitalisation, starting with 100 stocks in the first phase.
Shares of Azad Engineering ended 3.7% lower at Rs 1,226.6 apiece on the National Stock Exchange, compared to a 0.02% decline in the benchmark Nifty.
Three analysts tracking the company maintain a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analysts' price target implies a potential upside of 75.3%.
