Kingfisher rallies on GDR, rights issue plans

Kingfisher finally ended with gains of 7.2% or Rs 3.8 at Rs 57.25.  Around 12.53 million shares changed hands on the counter today.
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Kingfisher Airlines has surged today on probability of rights issue.

The stock opened at Rs 54 and surged 9.5% to touch a high of Rs 58. The stock is currently trading with a gain of 7.5% at Rs 57. Over 6.90 million shares have been traded on the BSE so far.

The company may raise as much as $175 million selling shares and global depository receipts (GDRs) to repay debt. Out of this $80 - $100 million would be raised in a rights offer while a further $60 - $75 million would be raised through selling GDRs. The company hopes to raise the money within six months.