M&M Financial Services hits 52-week high on QIP launch

Mahindra & Mahindra Financial Services share prices surged by over 5 per cent on the bourses during Friday’s intraday trade on the back of its qualified institutional placement (QIP) issue launch on Thursday. The stock surged to hit its 52-week high of Rs. 461 per share.
 
The company has fixed Rs. 439.63 per share as the floor price and is likely to offer a discount of not more than 5 per cent on the floor price, according to a statement released by the company. The company’s board of directors had provided the approval for the issuance of up to 24 million equity shares of Rs. 2 each through QIP. The QIP is proposed to raise around Rs. 1,000 crore.
 
The securities issue committee of the board of directors also approved the allotment of 25 million equity shares to the promoter Mahindra & Mahindra Limited at the issue price of Rs. 422 per equity share, summing up to Rs. 1,055 crore.
 
At 12:40 hours IST, the stock was trading at Rs. 454.50 per share, higher by 3.38 per cent on BSE. The stock had posted an intraday low of Rs. 442.75 per share. Meanwhile, S&P BSE Sensex was trading at 33,118.80 level, lower by 0.09 per cent and NSE Nifty was trading at 10,212.80 level, lower by 0.13 per cent on Friday.