Cholamandalam Investment plans for QIP

Cholamandalam Investment and Finance Company plans to raise around Rs 250 crore through qualified institutional placement (QIP) and preferential issues. Meanwhile company’s Chairman today M A Alagappan today stepped down at the company’s 32nd annual general meeting (AGM) today. The succession plan is likely to be announced tomorrow.

Addressing the company’s shareholders today, Alagappan said the company plans to raise the funds to meet the regulator’s prescribed capital adequacy ratio of 15 per cent from March 2011. Currently company’s capital adequacy ratio is 14.8 per cent, as on March 31.

“We plan to raise Rs 150 crore through QIP and rest by way of preferential issue. The company is likely to raise the money during the second quarter,” he said.