Shares of Blue Star on Wednesday hit an all-time high during intra-day trades after the cooling products maker launched a Rs 1,000 crore qualified institutional placement (QIP).
The Blue Star scrip hit a 52-week high of Rs 945.80, marking a gain of nearly 18.23 per cent after it announced the issuance.
It later settled at Rs 907.05 in the BSE, thus showing a rise of 13.39 per cent or Rs 107.05 over the last close. It had earlier announced a floor price of Rs 784.55 for the QIP.
The company had also disclosed that it may at its discretion offer a discount of not more than five per cent on the floor price.
In August, when Blue Star announced results for the quarter ended June 30, 2023, its board had given the green signal for the fundraising plan.
The company had then said that it has aspirational growth plans and in order to fund these, the board had approved the raising of funds by way of issuance of equity shares or convertible debentures among others for Rs 1,000 crore.
During the first quarter ended June 30, the company’s revenue from operations increased by 12.6 per cent to Rs 2,226.00 crore compared to Rs 1,977.03 crore during the same period in the previous year.
During this period, its net profit rose to Rs 83.37 crore against Rs 74.35 crore in the year-ago period. Among its divisions, revenue of the Electro-Mechanical projects and commercial air-conditioning systems grew 19 per cent to Rs 949.12 crore in the first quarter compared with Rs 796.76 crore a year ago.
Blue Star had then said that its commercial air conditioning business witnessed continued traction from the government, industrial and healthcare sectors coupled with increasing demand from the education and retail sectors.
Shares RR Kabel Ltd ended with a premium of nearly 16 per cent against the issue price of Rs 1,035 on the first day of trading on Wednesday.
It became the first company to debut within two days of the issue closing. It became the first company to list in the T+2 timeline — the second working day after the issue closing on September 15.