Cholamandalam Investment likely to float a QIP of Rs 2,000 crore this week
Cholamandalam Investment appears to be gearing up for a substantial QIP, with reports suggesting a target of approximately Rs 2,000 crore. Sources to CNBC-TV18 have indicated that there is a QIP coming by Cholamandalam and they will be looking to raise money over the next couple of days itself.
Cholamandalam Investment appears to be gearing up for a substantial qualified institutional placement (QIP), with reports suggesting a target of approximately Rs 2,000 crore, according to CNBC-TV18 sources .
The base price for the shares is tentatively set at Rs 1,140 per share. This move follows the board's approval, granted on the first of August, to raise up to Rs 4,000 crore through the QIP route in one or more tranches.
It's worth noting that the company's board had previously granted approval on August 1st to raise Rs 4,000 crore via the QIP method, either in a single tranche or multiple installments.
As part of their strategic move, Cholamandalam has enlisted the services of three investment banks to facilitate the QIP process, which is expected to kick off shortly.
While an official confirmation from the company is still pending, it is understood that Cholamandalam Investment seeks these funds to fuel its growth initiatives.
The company has enlisted the expertise of three investment banks to guide them in this endeavor.
It's worth noting that Chola Finance had previously secured Rs 1,200 crore through the QIP route in FY20, making this current endeavor the first of its kind in recent times.
Additional insights and commentary from the company's management regarding this development is still awaited.
Shares of Cholamandalam Investment are trading at Rs 1,146. 10, lower by 3 percent. In the past month the stock is up more than 10 percent.
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
AAP protest today: Delhi traffic police issues traffic advisory, security at BJP headquarters beefed up
May 19, 2024 11:26 AM
BJP is planning to ban RSS, says Shiv Sena (UBT) chief Uddhav Thackeray
May 18, 2024 8:01 PM
Punjab Lok Sabha elections: Complete list of Congress candidates
May 18, 2024 4:08 PM
Punjab Lok Sabha elections: Check full list of AAP candidates and constituencies
May 18, 2024 12:59 PM