Shares of SpiceJet fell nearly 3 percent on September 17 as investors rushed to booked profits The slump comes a day after the stock rallied as the company opened a Qualified Institutional Placement (QIP) to raise up to Rs 3,000 crore at a floor price of Rs 64.79 per share.
The airline said it may offer a discount on the floor price. CNBC-TV18 reported citing sources that the Indicative Issue price of the QIP is Rs 61.60 per share, which is at a discount of 20.81 percent to Monday’s closing price.
Though the size of the QIP has not been disclosed officially, SpiceJet said in the past it has board approval to raise Rs 3,000 crore. The entire proceeds of the fund raise will be available to the airline, the statement added.
The airline has been making efforts to infuse funds to get more aircraft off the ground as well as to reduce the debt liability on the company.
At 9:40 am, SpiceJet shares were trading 2.9 percent lower at Rs 75.51 on BSE. The stock has rallied over 24 percent so far this year, outperforming benchmark Sensex’s returns of 14 percent. In the past 12 months, the counter has gained 98 percent, nearly doubling investors’ money. In comparison, Sensex rose 22 percent during this period.
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