Idea Cellular gains on QIP issue

Idea Cellular rose 2.38% to Rs 139.60 at 9:16 IST on BSE after the company said that it intends to raise up to Rs 3000 crore from QIP issue of shares.

The announcement was made after market hours on Thursday, 5 June 2014.

Meanwhile, the S&P BSE Sensex was up 165.33 points or 0.66% at 25,184.84.

On BSE, so far 78,000 shares were traded in the counter as against average daily volume of 10.53 lakh shares in the past two weeks.

The stock hit a high of Rs 140 and a low of Rs 139.10 so far during the day.

Idea Cellular said that the Securities Allotment Committee of the board of directors of the company has decided to open bidding for issue of shares under qualified institutional placement (QIP). The company intends to raise up to Rs 3000 crore from the issue. The floor price for the QIP issue has been fixed at Rs 136.98 per share. Shares of Idea Cellular gained 0.41% to settle at Rs 136.35 on BSE on Thursday, 5 June 2014, ahead of the announcement.

Idea Cellular's consolidated net profit surged 91.4% to Rs 589.77 crore on 15.7% growth in net sales to Rs 6974.72 crore in Q4 March 2014 over Q4 March 2013.

Idea Cellular is the third largest wireless operator in India. It is part of Aditya Birla Group.

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