This Textile Company Share Price Surge 22% in 2 Days, Hit Fresh 52-Week High; Stock Gains 56% in September So Far

Raymond shares jumped 22 per cent in two trading sessions, hitting a fresh 52-week high on Friday, September 11, amid strong buying interest following the company's announcement of a proposed fundraise through a preferential issue of convertible warrants.

The stock briefly hit a 20 per cent Upper Circuit on the NSE to touch a fresh high of Rs 1,024.50 per share. With Friday's sharp gain, Raymond shares have advanced 56 per cent so far in September.

Preferential Issue Drives Buying Interest

The buying momentum comes after Raymond informed the stock exchanges about a proposed fundraise through the issuance of convertible warrants. The company plans to issue 33,28,686 convertible warrants for cash at an issue price of Rs 645 per warrant, including a premium of Rs 635 per warrant.

The proposed issue is expected to raise up to around Rs 214.71 crore. The warrants will be allotted on a preferential basis through private placement to Minerva Ventures Fund.

The proposed issuance remains subject to the approval of the company's members, along with other applicable statutory and regulatory approvals.

Stock Reaction After Fundraise Announcement

Raymond informed the stock exchanges about the proposed fundraise on September 8. Following the announcement, the stock initially came under selling pressure and declined nearly 6 per cent on September 9.

However, buying interest returned from Thursday, September 10, and the stock gained sharply over the next two trading sessions. The renewed buying pushed Raymond shares to a fresh 52-week high of Rs 1,024.50 on Friday, with the stock briefly locked in a 20 per cent upper circuit.

The sharp rise has taken the stock's September gain to 56 per cent, highlighting strong momentum in the shares following the fundraise announcement.

Disclaimer: The article is for informational purposes only and not investment advice.