Indian Tyre Manufacturer JK Tyre & Industries have successfully concluded their fund-raising plans of Rs 500 crore through a Qualified Institutional Placement (QIP), leading the stock price to trade in the green territory at Rs 401 on the National Stock Exchange (NSE).
According to the official statement by the company, the QIP was priced at Rs 345 per share and received an overwhelming response from marquee investors, including Indian mutual funds, insurance companies, and foreign institutional investors.
“We are pleased to have successfully completed a QIP of Rs 500 crore. This is an important milestone in our corporate journey. The participation of several reputed investors in the issue endorses their faith and confidence in the company’s growth story. QIP funds will be used for the purpose of growth capex and strengthening of the balance sheet,” said Raghupati Singhania, Chairman, and Managing Director of JK Tyre.
Emkay Global Financial Services was the sole Lead Manager for the issue. The tyre manufacturer received QIP approval in December to raise Rs 500 crore, leading the stock to soar 12 percent on 18 December. Notably, the stock had delivered 2 times returns in 2023.
