JM Financial shares jumped as much as 5.54 per cent to Rs 97 apiece on the BSE on Friday after the company informed that the board has given approval to raise up to Rs 850 crore. The company also received approval to increase investments by the foreign portfolio investors (FPIs) from 24 per cent to 40 per cent.
At 10:00 am, the stock was trading around 3 per cent higher at Rs 94.50 on the BSE. It had hit a 52-week high of Rs 100 on November 22. The S&P BSE Sensex was trading 70 points or 0.17 per cent higher at 41,744 levels.
In its regulatory filing, JM Financial informed that the company’s board has given its approval (subject to the approval of the members) to enable the company to raise the funds by way of issue of equity shares and/or any other instruments or securities via qualified institutions placement (QIP), private placement/preferential issue/public issue/rights issue for an aggregate amount of up to Rs 850 crore.
In a separate filing, the company announced that it has allotted 1,01,056 equity shares arising out of the exercise of Stock Options under Employees’ Stock Option Scheme (ESOP) — Series 9, Series 10 and Series 11.
JM Financial is one of the leading financial services groups in India that provides a slew of businesses to corporations, financial institutions, high net-worth individuals and retail investors.
The stock of the company has remained flat in the calendar year 2019 – down 2 per cent. In comparison, the benchmark Nifty50 index has rallied around 13 per cent.
Source: Maalaimalar
