Parag Milk Foods Ltd. saw its share price surge over 9% after its board approved a fundraise of Rs 161 crore through a preferential issue of convertible warrants.
This decision was made during the board meeting held on April 3, 2025, in accordance with Regulation 30 of SEBI.
The board approved the issuance of 90 lakh convertible warrants to various allottees, which will be converted into an equivalent number of equity shares.
Each warrant is priced at Rs 179.10, including a premium of Rs 169.10 per share. This move aims to optimise the company's debt and meet its working capital and capital expenditure requirements.
The proposed allottees include both promoters and non-promoters. Notable allottees are Devendra Shah and Pritam Shah, each receiving 30 lakh warrants.
Other significant allottees include Trishakti Power Holdings Pvt., with 14 lakh warrants and Utpal Hemendra Sheth, with 13 lakh warrants.
Parag Milk Share Price Today
Shares of the company rose as much as 9.61% to Rs 185 apiece. It pared gains to trade 7.10% higher at Rs 180.76 apiece, as of 11:35 a.m. This compares to a 0.25% decline in the NSE Nifty 50.
The stock has fallen 16.12% in the last 12 months. Total traded volume so far in the day stood at 13 times its 30-day average. The relative strength index was at 65.
One analyst tracking the company maintains a 'buy' rating on the stock, according to Bloomberg data. The average 12-month analysts' consensus price target implies an upside of 44%.
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