Deepak Nitrite QIP sees over 2.2x demand, raises Rs. 150 crore

Deepak Nitrite's share sale through Qualified Institutional Placement (QIP), to raise Rs 150 crores, witnessed a strong response from high quality domestic institutional investors and saw a demand of over 2.2 times the issue size, exceeding Rs. 340 crore.

The QIP funding completes a key portion of the equity fund requirement for the new Phenol / Acetone project being set up in subsidiary company of Deepak Nitrite. The project is rapidly taking shape and is targeted for completion by year end. The company, including its subsidiary, is expected to more than double its current turnover in next three years, as a result.

The QIP witnessed participation from some of the top Domestic Institutional investors namely ICICI Lombard General Insurance Company, Birla Sun Life Insurance Company, Reliance Mutual Fund, Birla Mutual Fund, ICICI Prudential Mutual Fund, IDFC Mutual Fund and L&T Mutual Fund, who are now stakeholders in Deepak Nitrite which augurs well for the rest of the company's shareholder base.

Shares of DEEPAK NITRITE LTD. was last trading in BSE at Rs.118.8 as compared to the previous close of Rs. 122.1. The total number of shares traded during the day was 36137 in over 728 trades.

The stock hit an intraday high of Rs. 123 and intraday low of 118. The net turnover during the day was Rs. 4333194.

Source : Equity Bulls

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