BlackRock, MIT etc invest Rs 1,750 cr in Aditya Birla Capital QIP

Finance company raises total Rs 3,000 cr in equity

Marquee global investors like AbuDhabi Investment Authority (ADIA), Massachusetts Institute of Technology (MIT) and BlackRock have invested Rs 1,750 crore in the equity of Aditya Birla Capital Ltd through Qualified Institutional Placement. 
 

Announcing completion of Rs 3,000 crore fund raise, ABCL said it has mobilised Rs 1,250 crore through a preferential issuance of equity shares to its Promoter and Promoter Group entity.

The panel of board of directors has approved the issue and allotment of 100 million equity shares of face value Rs. 10 each at the Rs. 175 per Equity Share (including a premium of Rs. 165).  This allotment is to eligible Qualified InstitutionalBuyers ("QIBs").

The proceeds from the fund raise will be predominantly used to augment the capital base and improve the solvency margin and leverage ratio, meeting the growth and funding requirements of various businesses of the company. This includes investments in entities of the company engaged in certain businesses and technology, IT infrastructure and digital offering platforms.

ABCL through its subsidiaries/JVs has a strong presence across Protecting (aka insurance), Investing and Financing solutions, catering to the diverse needs of its customers across their life cycle.

It reported consolidated revenue of Rs 29,999 crore and a profit after tax of Rs 2,057 crores (excluding fair value gains) for FY 2023.