New Delhi: Piramal Enterprises on Thursday said it has completed a fundraising of Rs 1,750 crore through preferential allotment of compulsory convertible debentures (CCDs) to Canadian institutional investor Caisse de dépôt et placement du Québec (CDPQ).
The compulsory conversion of CCDs into equity shares will take place within 18 months from the date of allotment, Piramal Enterprises said in a statement.
“CDPQ, the marquee global investor’s long-standing partnership with Piramal Group, and its further investment in the company reaffirms the strength of our business model and long-term growth potential,” Piramal Enterprises Chairman Ajay Piramal said.
This infusion of funds will strengthen “our balance sheet and also enable us to tap both organic and inorganic growth opportunities that continue to emerge in the current market dynamics across the sectors and the markets that we operate in,” he added.
CDPQ, a long-standing existing investor with PEL, had also participated as the anchor investor during PEL’s previous capital issuance, investing USD 175 million out of the total issue size of USD 750 million, the statement said.
“In addition, CDPQ’s real estate subsidiary, Ivanhoé Cambridge, has committed USD 250 million towards a co-investment platform with PEL to provide long-term equity to blue-chip residential developers,” it added.
Shares of Piramal Enterprises were trading at Rs 1,629 per scrip on BSE, down 0.59 per cent from its previous close.
Source: Economic Times