Mrs Bectors Food shares price surges over 4%, Company raises ₹4,000 crore through QIP

Mrs Bectors Food QIP Success: Mrs Bectors Food Specialities Limited has successfully raised ₹400 crore through a Qualified Institutions Placement (QIP), according to an exchange filing on September 10. The company issued 25,80,645 new equity shares at ₹1,550 per share, which includes a premium of ₹1,540 per share. This capital-raising move has increased the company's paid-up equity share capital from ₹58.81 crore to ₹61.40 crore.

Mrs. Bectors Food share price was trading in green, up 4.28 per cent, at ₹1,778.55, on September 10, at 11:19 am. The company enjoys a market capitalisation of ₹10,460.98 crore. Mrs Bectors Food's stock price is around 3.8 per cent away from its 52-week high of ₹1,848.90 which it hit on September 6, 2024.

The Fund Raise Committee of the company approved the allotment on Tuesday, September 10, 2024. The issue price represents a 1.77 percent discount to the floor price of ₹1,577.85 per share, as determined by SEBI regulations.

Who were the investors?

Among the major investors, the Government of Singapore emerged as the largest participant, acquiring 18.49 percent of the newly issued shares. Other significant investors included Manulife Global Fund - India Equity Fund (5.54 percent), The Prudential Assurance Company Limited (8.39 percent), and Arisaig Asia Fund Limited (9.12 percent).

Several mutual funds also participated in the QIP, with SBI Multicap Fund and DSP funds each securing 6.25% of the issue. Aditya Birla Sun Life Trustee Private Limited, Canara Robeco Mutual Fund, Axis Mutual Fund, and Invesco India funds also made notable investments, each acquiring between 5.75% to 6.25% of the total shares issued.

The company's disclosure to the stock exchanges stated, "Pursuant to the allotment of Equity Shares under the QIP, the paid-up equity share capital of the Company stands increased from ₹ 588.17 million consisting of 5,88,17,474 Equity Shares of face value of ₹ 10/- each to ₹ 613.98 million consisting of 6,13,98,119 Equity Shares of face value of ₹ 10/- each."

This capital raised is expected to strengthen Mrs Bectors Food Specialities Limited's financial position and support its growth initiatives. The company's shares are listed on both the BSE and the National Stock Exchange.

The QIP, which opened on September 5, 2024, and closed on September 9, 2024, was conducted under Chapter VI of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, and Sections 42 and 62 of the Companies Act, 2013.