Markets

Fund raising via rights issue up 29% in H1: Prime Database

Jayanta Mallick Kolkata | Updated on March 12, 2018 Published on October 16, 2014

Ten listed companies raised funds worth Rs 2,796 crore via rights issue in the first half of the current financial year, Prime Database said on Thursday.

This is a 29 per cent increase over the comparable period last fiscal. During April-September last year, only seven companies had mopped up Rs 2,163 crore.

However, these levels are far cry from Rs 6,749 crore raised in H1 of 2012-13.

The trend suggests that the companies are relying less on existing shareholders for mopping up additional funds. For example, during the first half of 2014-15, India Inc went in for large-scale mobilisation through qualified institutional placement of Rs 20,590 crore against Rs 5,402 crore in H1 of 2013-14.

The largest of the rights issue in H12014-15 was by Indian Hotels (Rs 1,000 crore), followed by NCC (Rs 599 crore) and IL&FS Transportation (Rs 525 crore).

Published on October 16, 2014
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