PVR at four-and-half year high

The stock outperformed the market by rising 26% after allotment of 2.88 million equity to L Capital

PVR Limited has soared 8% to Rs 235, also its highest level since March 2008 on back of heavy volumes on the Bombay Stock Exchange.

A combined volume of 313,946 shares have already changed hands on the counter in early noon deals against an average around 200,000 shares that were traded daily in past two weeks on both the exchanges.

The media stock has outperformed the market by rising 26% since September 28, after the company allotted 2.88 million equity shares to L Capital, a private equity investor for an aggregate value of Rs 57.70 crore on preferential basis.

In addition, PVR and L Capital will enter into a joint venture to invest in entertainment, gaming, food and leisure formats. Ergo, L capital will invest Rs 50 crore into a new subsidiary of PVR and the latter's existing investment in PVR BluO will be held via this subsidiary.