Piramal Enterprises gains 3% on plans to issue NCDs worth Rs 2,000 cr

Shares of Piramal Enterprises gained up to 4.80 per cent at Rs 390.45 per share on the BSE in Monday’s intraday trade. Piramal Enterprises share price surged after the company disclosed its plans to issue secured non-convertible debentures worth Rs 2,000 crore.   

 

In an exchange filing on Friday, the leading diversified NBFC said that its board has given the seal of approval for a public issuance of secured Non-Convertible Debentures (NCDs) with a face value of Rs 1,000 each, totaling up to Rs 2,000 crore. 

 

The decision was made during a meeting of the company's Administrative Committee on December 20, 2024. The issuance may occur in one or more tranches, the company said.

 

Piramal Enterprises reported a 238 per cent year-on-year (YoY) increase in consolidated net profit to Rs 162.97 crore in the second quarter of financial year 2024-25 (Q2FY25), a significant rise from Rs 48.19 crore in the corresponding quarter of the previous fiscal. However, on a quarter-on-quarter (QoQ) basis, net profit declined by 10 per cent from Rs 181.45 crore in Q1FY25.

 

The company recorded total revenue of Rs 2,080.43 crore for Q2 FY25, reflecting a 17 per cent YoY increase from Rs 1,778.32 crore in Q2FY24. On a QoQ basis, revenue grew by 7.88 per cent, up from Rs 1,928.50 crore in Q1FY25.

 

Meanwhile, on the equities side, Piramal Enterprises  stock has outperformed the market, as in the last six months it has surged 25 per cent, while gaining 21 per cent in the last one year. In comparison BSE Sensex has risen 2 per cent in the last six months and 10 per cent in a year. 

 

The company has a total market capitalisation of Rs 25,022.39 crore. Its shares are trading at a price to earnings multiple of 103.71 times and at an earning per share of Rs 10.55. 

 

At 10:40 AM; the shares of the company were up 1.47 per cent at Rs 1,109.75  a piece. By comparison, the BSE Sensex was trading 0.81 per cent higher at 78,674.20 level.