Torrent Power opens equities on QIP basis at Rs 1,555.75 apiece floor price

Torrent Power on Monday announced the opening of equities on qualified institutional placement (QIP) basis at a floor price of Rs 1,555.75 apiece as part of its plan to raise up to Rs 5,000 crore in one or more tranches.

The company did neither disclosed the number of shares to be issued nor the total issue size.

However, there are speculations that the issue size is expected to range between Rs 3,500 crore and Rs 5,000 crore.

The fund raising committee of the board, at its meeting held on December 2 has, inter alia, considered and approved authorising the opening of the issue today, Torrent Power said in a stock exchange filing.

According to the company, the committee also approved the floor price for the issue at Rs 1,555.75 per equity share, based on the pricing formula prescribed by capital market regulator Sebi.

In July this year, shareholders of the company had approved the proposal to raise up to Rs 5,000 crore through the issuance of equity shares and/or foreign currency convertible bonds (FCCBs) and/or debentures or any equity-linked instruments.

The company had earlier said that there was an ongoing requirement of working capital and capex for upgradation/expansion of its power generation, distribution businesses and ongoing projects.