 "Cox and Kings hits new high on fund raising plans")
Cox and Kings has moved higher by 6% to Rs 333, extending its previous day’s 5% rally, on reports that the leisure travel arranger is planning to raise about Rs 300-350 crore via qualified institutional placements (QIP).
The stock opened at Rs 316 and touched a new high of Rs 337 on National Stock Exchange (NSE). A combined 1.33 million shares changed hands on the counter till noon deals on NSE and BSE.
Axis Capital is likely banker to the QIP. The company plans to raise capital in a bid to cut debt on books, the Economic Times report suggests.
Meanwhile, analyst at Sharekhan has recommend ‘buy’ rating on Cox and Kings with price target of Rs 395.
An exit from the low-margin camping business and focus on strengthening the balance sheet bode well for the company from the long-term perspective.
The company aims to become one of the largest leisure travel players globally and is also keen to expand its education tourism business in the other geographies. This would result in a stable double-digit earnings growth and generate better cash flows in the near to medium term, said analyst in a research report dated September 2, 2014.
The stock opened at Rs 316 and touched a new high of Rs 337 on National Stock Exchange (NSE). A combined 1.33 million shares changed hands on the counter till noon deals on NSE and BSE.
Axis Capital is likely banker to the QIP. The company plans to raise capital in a bid to cut debt on books, the Economic Times report suggests.
Meanwhile, analyst at Sharekhan has recommend ‘buy’ rating on Cox and Kings with price target of Rs 395.
An exit from the low-margin camping business and focus on strengthening the balance sheet bode well for the company from the long-term perspective.
The company aims to become one of the largest leisure travel players globally and is also keen to expand its education tourism business in the other geographies. This would result in a stable double-digit earnings growth and generate better cash flows in the near to medium term, said analyst in a research report dated September 2, 2014.