JM Financial raises Rs 770 cr via QIP, issues 110 mn shares

JM Financial on Monday announced that it has raised Rs 770 crore by way of a qualified institutional placement (QIP) programme. The company said the issue was subscribed by both domestic as well as foreign investors. 

Nearly 110 million shares of the company were issued at Rs 70 per share under the QIP programme. Shares of JM Financial on Monday closed at Rs 73, down nearly 2 per cent. At the last closing price, the company was valued at Rs 6,145 crore.

“The equity fund raise further strengthens our balance sheet amid the uncertainties related to Covid-19 by augmenting our existing cash and cash equivalents, which stood at Rs.3,412 crore as of March 31, 2020. The capital raise also provides us the ability to leverage the capital to tap into the growth opportunities at an appropriate time,” said Vishal Kampani, managing director, JM Financial Group.