PC Jeweller Board Approves Rs 2,000-Crore Fundraise
The jeweller plans to raise Rs 1,500 crore through rights issue, while Rs 500 crore will be raised through fully convertible warrants.
The board of directors of PC Jeweller Ltd. has approved raising Rs 2,000 crore. It plans to raise Rs 1,500 crore through a rights issue, while Rs 500 crore will be raised through fully convertible warrants.
The board will also establish a ‘Fund Raising Committee', which will decide the detailed terms and conditions of the issue but is not entitled to determine the mode of payment, issue price, rights entitlement ratio, record date, timing and other ancillary matters, an exchange filing said on Tuesday.
The Rs 500 crore fund will be raised by New Track Garments Pvt.—the promoter group of the company, within 18 months from the date of allotment of warrants.
The fundraise will require the consent of necessary regulatory, statutory and other approvals, it said. The preferential issue will be used to repay the financial liabilities of the company, subject to the approval of lenders, it said.
Shares of PC Jeweller closed 4.97% higher at Rs 55.95 apiece, as compared with a 0.56% fall in the benchmark NSE Nifty 50.