Grasim Industries Announces ₹4000 Crore Rights Issue at ₹1,812 Per Share; Promoters Commit to Full Subscription

Grasim Industries Announces ₹4000 Crore Rights Issue at ₹1,812 Per Share; Promoters Commit to Full Subscription

Asif Iqbal | January 4, 2024 | 08:45 PM IST | Breaking News | Follow on Google News

Grasim Industries Announces ₹4000 Crore Rights Issue at ₹1,812 Per Share; Promoters Commit to Full Subscription

Grasim Industries Announces ₹4000 Crore Rights Issue at ₹1,812 Per Share; Promoters Commit to Full Subscription

On Thursday, Grasim Industries disclosed the pricing details for its ₹4,000-crore rights issue at ₹1,812 per share, indicating a 12.47% discount from the current market price. The company outlined its intention to issue up to 2.2 crore shares to promoters and the promoter group, according to its exchange filing. The rights issue adopts a ratio of six shares for every 179 shares held as of the record date, scheduled for January 10. Subscriptions for the issue will be accepted from January 17 to January 29.

This fundraising initiative by the Aditya Birla Group is aimed at supporting its ongoing capital expenditure plan and addressing existing debt obligations, as approved by the board in October of the previous year. Grasim Industries conveyed the commitment of promoters and the promoter group to fully subscribe to their rights entitlement. Furthermore, they expressed their willingness to subscribe to any portion that remains unsubscribed.

In September, the cement manufacturer unveiled the brand name for its upcoming entry into the paint business, with Birla Opus scheduled to debut in the fourth quarter of the current fiscal year. Grasim’s objective is to offer a comprehensive range of premium products in the decorative paints segment, with an initial investment commitment of ₹10,000 crore, covering a total annual capacity of 1,332 million litres.

Despite a marginal 0.10% decline in Grasim Industries’ shares to ₹2,068.60 each on Thursday, the stock has displayed resilience, posting a nearly 5% surge since October 16, the date when the board approved the fundraising plan. In contrast, the benchmark S&P BSE Sensex recorded a 0.69% gain on the same day.

Grasim Industries Announces ₹4000 Crore Rights Issue at ₹1,812 Per Share; Promoters Commit to Full Subscription:In case of rectification of any error in article , Visit on Correction Policy & Register your Query:

Asif Iqbal

Asif Iqbal is a seasoned news writer with a passion for delivering the latest updates to the public. Currently serving as the senior writer at VoM News, a prominent news outlet known for its comprehensive coverage of diverse topics, Asif has established himself as a reliable source of information. With a keen eye for detail and a knack for storytelling, he consistently provides readers with well-crafted articles that cover a wide range of news categories. His dedication to journalistic integrity and his commitment to staying ahead of the news curve make him an invaluable asset to Vom News, ensuring that readers are always well-informed on the issues that matter most. You can find his work and stay updated on current events by visiting vomnews.in.