Swan Energy declines 3.6% on profit booking; Co raises Rs 3,300-cr via QIP

Shares of Swan Energy declined 3.6 per cent to Rs 735 on the BSE in Saturday's special trading after the company raised Rs 3,319 crore via Qualified Institutions Placement (QIP).

It allotted 49.5 million shares to eligible, qualified institutional buyers at the issue price of Rs 670 per share against the floor price of Rs 703.29 per share, the company said in an exchange filing.

Some of the marquee investors included Quant Mutual Fund, SBI Life, LIC, LIC Mutual Fund, Tata Mutual Fund, Infini Mutual Funds, SBI General Insurance, BNP Paribas Mutual Fund, Nomura, Diamond Asia, Bank of India Mutual Fund, ITI Mutual Fund, Goldman Sachs, Future Generali, Anand Rathi, and other domestic and foreign institutions and family offices.

"The funds raised through the QIP will be strategically deployed towards the modernisation of the recently acquired erstwhile Reliance Naval and Engineering Ltd (RNEL) shipyard at Pipavav. Additionally, a portion of the funds will be allocated for project expansion and debt reduction," the company said in a statement.

At 10:25 AM, Swan Energy was quoting at Rs 740 per share, down 3 per cent on the BSE. By comparison, the BSE Sensex was at 73,860.26 level, up 0.16 per cent at the end of the first half of the special session. 

Ovet the past one month, the stock of Swan Energy has rallied 11.2 per cent, while over the past three months it has zoomed 82.5 per cent. 

By comparison, the benchmark Sensex index has gained over 2 per cent in one month, and 7 per cent in three months.

Swan Energy has diversified interests in real estate, textiles, oil & gas, defence and commercial shipbuilding and ship repairs, and heavy fabrication. It has intensified its shipyard restoration efforts, focusing on activities such as dredging, reinstatement of licenses and certifications, implementation of industry-standard safety measures, and upgrading basic utilities. 

A dedicated arm of the Swan Group is overseeing procurement and supply chain management to meet the demands of downstream activities. It is also planning to upskill and absorb employees through an internal selection process, while ensuring full compliance with statutory requirements.

In the December quarter, it posted a consolidated net profit of Rs 220 crore as against a loss of Rs 15.7 crore last year. Revenue, meanwhile, came in at Rs 1,591.7 crore, up from Rs 101.1 crore. 

Ebitda stood at Rs 255.8 crore compared with Ebitda loss of Rs 13.6 crore. Ebitda margin stood at 16.07 per cent.