Shares of Gujarat Themis Biosyn climbed more than 4% in early trade on Monday, extending its gains to around 40% over the past six months. The latest move comes after the company completed a Rs 750 crore qualified institutions placement, bringing fresh capital into the company even as the issue increases its equity base and dilutes existing shareholders.
The stock is trading at Rs 425 apiece on NSE, up from its previous close at Rs 411.05. Meanwhile, benchmark index Nifty 50 was down 0.6%.
Gujarat Themis Biosyn QIP Raises Rs 750 Crore
The company's Fund-Raising Committee on Aug. 28 approved the allotment of 2,11,86,440 equity shares at Rs 354 per share to eligible qualified institutional buyers. The QIP opened on Aug. 25 and closed on Aug. 28.
The issue price included a premium of Rs 353 per share and represented a 4.98% discount to the floor price, with the discount amounting to Rs 18.57 per share. The company raised a total of Rs 749.99 crore through the issue.
The fresh capital could strengthen the company's financial flexibility and provide additional resources for its business plans. The participation of institutional investors in the QIP may also have supported sentiment around the fundraise.
Why Are Gujarat Themis Biosyn Shares Rising?
The QIP has a positive and a negative impact for existing shareholders. On the positive side, the company has raised nearly Rs 750 crore in fresh capital, which could support its financial requirements and future business plans. On the other hand, the issue increases the number of outstanding shares, resulting in dilution for existing shareholders.
Following the allotment, Gujarat Themis Biosyn's paid-up equity share capital has increased from Rs 10.89 crore to Rs 13.02 crore, while the number of equity shares has risen from 10.89 crore to 13.02 crore.
The positive market reaction suggests investors may be focusing on the benefits of the fresh capital and institutional participation despite the dilution. Apart from today's rise, the stock has gained over 20.08% over a month; however, it remained marginally down by 2.4% in 2026.
With the fundraise now completed, the key factor for the stock will be how effectively the company deploys the additional capital and whether it translates into stronger business performance.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
