 "Nandan Denim surges on preferential issue plan to foreign investors")
Nandan Denim has surged 19% to Rs 151 on the BSE in intra-day trade after the company announced that it is planning to issue 5 million convertible warrants on preferential basis to foreign investors at Rs 200 each.
“The company will be issuing 2.5 million fully convertible warrants each to foreign portfolio investors (FPIs), LTS Investment Fund and LGOF Global Opportunities at Rs 200 each,” Nandan Denim said in a release.
The conversion price of Rs 200 per share represents premium of over 57% to current share price of Rs 127.05 per share on September 27, 2016, it added.
The company is expected to raise Rs 100 crore from the warrants issued to fund its growth plans, investment in proposed subsidiaries, meet long term working capital requirement and improve capital structure, etc.
The company has also proposed to increase the aggregate limit for holding shares by the foreign institutional investor (FII)/FPIs to 49% from 24%.
At 01:52 pm, the stock was up 14% to Rs 144 on the BSE. A combined 1.53 million shares changed hands on the counter on the BSE and NSE.
“The company will be issuing 2.5 million fully convertible warrants each to foreign portfolio investors (FPIs), LTS Investment Fund and LGOF Global Opportunities at Rs 200 each,” Nandan Denim said in a release.
The conversion price of Rs 200 per share represents premium of over 57% to current share price of Rs 127.05 per share on September 27, 2016, it added.
The company is expected to raise Rs 100 crore from the warrants issued to fund its growth plans, investment in proposed subsidiaries, meet long term working capital requirement and improve capital structure, etc.
The company has also proposed to increase the aggregate limit for holding shares by the foreign institutional investor (FII)/FPIs to 49% from 24%.
At 01:52 pm, the stock was up 14% to Rs 144 on the BSE. A combined 1.53 million shares changed hands on the counter on the BSE and NSE.
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