Macrotech Developers (Lodha) on Thursday announced the closure of its Qualified Institutional Placement (QIP), which opened on Monday. The company has approved the issue price 1,170 for its QIP as against the minimum price of 1,184.7 per share.
“The Board in its meeting has determined and approved the issue price of 1,170 per equity share (including premium of Rs. 1,160 per equity share), which is at a discount of 1.24% (ie 14.70 per equity share) at a minimum price of Rs. 1,184.70 per equity share has been determined as per the prescribed formula,” the company announced in an exchange filing.
The real estate firm on Monday launched a share sale to raise 3,000 crore- 4,000 crore from institutional investors. Macrotech approves opening of QIP and fixes minimum price for the issue 1,184.7 per share, a discount of 7.8% on its November 15 closing price.
QIP helps publicly listed companies to raise capital from domestic markets without the usual standard regulatory compliance and allows only institutional investors to participate in the offer. Macrotech intends to utilize the proceeds from the placement for its capital expenditure needs, including land acquisition and land development rights.
The company had said, “We require additional funding, inter alia, to capitalize on the significant growth opportunities that lie ahead under the capital-lite business model of joint development and land parcels, future expansion plans, for deleveraging and general corporate purposes.” BSE filing.
Never miss a story! Stay connected and informed with Mint.
download
Our App Now!!
,