Hindustan Construction Company gains after opening of QIP issue

The stock rallied 7% to Rs 35.85 on the National Stock Exchange.

Shares of Hindustan Construction Company (HCC) has moved higher by 7% to Rs 35.85 on the National Stock Exchange (NSE) after the company said its board had decided to open the qualified institutional placement (QIP) issue on 6 April.

The company has set a floor price of Rs 30.98 per equity share. The company may offer a discount of not more than 5% on the floor price, HCC said in a regulatory filing.

HCC received shareholders approval on July 31, 2014 to raise Rs 750 crore through a QIP.

The stock opened at Rs 32.20 and touched high of Rs 36.35 on the NSE. The trading volumes on the counter more than doubled with a combined 18.96 million shares changed hands till 1142 hours on the NSE and BSE.