The funds raised through the issue will be used to repay certain commercial papers issued by the company
L&T Finance Holdings Ltd reported a 51% fall in its consolidated net profit to ₹291 crore for the quarter ended December
L&T Finance Holdings will open its ₹2998.61 crore rights issue on 1 February. The company will issue up to 461.33 million equity shares for cash, at a price of ₹65 per equity share, including a premium of ₹55 per equity share, not exceeding Rs. 2,998.61 crore on a rights basis to eligible equity shareholders.
The equity shares will be offered in the ratio of 17 equity share for every 74 equity share held by the eligible equity shareholders of the L&T Finance Holdings as on the record of January 22 and the issue will close on February 15.
The funds raised through the issue will be used to repay certain commercial papers issued by the company, infusion of funds in the company’s subsidiary, for repayment of certain commercial papers issued by such subsidiary, the redemption of preference shares issued by the company and for general corporate purposes.
Axis Capital Limited, BOB Capital Markets Limited, Citigroup Global Markets India Private Limited, Credit Suisse Securities (India) Private Limited, HSBC Securities and Capital Markets (India) Private Limited, ICICI Securities Limited, Motilal Oswal Investment Advisors Limited, SBI Capital Markets Limited and UBS Securities India Private Limited are acting as the lead managers to the issue.
L&T Finance Holdings Ltd reported a 51% fall in its consolidated net profit to ₹291 crore for the quarter ended December against a net profit of ₹591 crore in the for the corresponding quarter of 2019-20. Total Income fell 3.04% yoy at ₹3622.16 crore for the quarter ended 31 December over ₹3735.79 crore for the same quarter last year.
On Friday, the stock closed at ₹86 up 0.29% from its previous close, while the benchmark index, Sensex fell 1.26% to 46,285.77 points.
L&T Finance Holdings Limited is a leading private sector Non-Banking Financial Company, with presence in rural finance, housing finance, infrastructure finance and investment management.