Investment Banker, JM Financial Limited has successfully closed its Qualified Institutions Placement (QIP). Through this, the company was able to raise Rs 770 crore. The company opted for QIP to not just strengthen the balance sheet but also to stay strong against the COVID-19 threat.
The issue was subscribed by global and domestic investors, stated the company in its filing.
The Company has issued and allotted 11 crore equity shares of the face value of Re.1.0 each to qualified institutional buyers at an issue price of Rs 70.0 each (including a securities premium of Rs 69.0 per equity share), aggregating to Rs. 770 crore.
Speaking on the announcement, Vishal Kampani, Managing Director, JM Financial Group said, “We are pleased with the response to our equity fund raise through our QIP. 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.”
