New Delhi based Tourism Finance Corporation of India Limited (TFCI), a financial institution, has secured INR 65.18 Cr by way of preferential allotment of 96,55,700 (Ninety Six Lakh Fifty Five Thousand Seven Hundred) fully paid up equity shares of face value of Rs.10/- each at an issue price of Rs.67.50/- (Rupees Sixty Seven and Fifty paise only) including a premium of Rs.57.50/- (Rupees Fifty Seven And Fifty paise only) each. TFCI will use the funds to boost its strong position in the lending ecosystem and to accelerate its strategic priorities. TFCI provides long-term line of credit to tourism related projects and the Company has a vision to "play the role of an investment catalyst for the Indian tourism sector".
The financing round was led by the Promoter group. Other investors included entities led by Anurag Bagaria (Chairman & CEO, Kemwell Biopharma Private Limited) and PS Jayakumar (ex-MD & CEO, Bank of Baroda). Prime Securities Limited was the exclusive Investment Banker to this transaction.
Commenting on the Fund Raise, Mr. Anirban Chakraborty, Managing Director said: 'We are pleased to welcome on board marquee investors who strongly believe in the growth and potential of the Company. We at TFCI are humbled by the opportunity, as this investment will not only help us to meet our goals but also help in accelerating our strategic priorities, including further expanding our footprint and driving the Company's growth. This fundraise of INR 65.18 crores will boost our strong position in the lending ecosystem. These investments reaffirm the faith of the market has in TFCI even in this challenging environment, that it is well poised to deliver profitable growth over the long term without compromising on portfolio quality.
We at TFCI are well-capitalized with a CAR of 41.95% as on 30th June 2021 and believe that our healthy financials complemented with a strong recovery path makes us well-positioned for achieving sustained growth momentum in the coming quarters as we continue to focus on business growth in diversified sectors while maintaining our leadership position in the hospitality sector. We would also like to thank all our existing stakeholders for their continued support and assure them of achieving robust operational and financial performance with the full-fledged revival in demand across the economy."
Mr. Apurva Doshi, Senior Vice President, Equity Capital Markets, Prime Securities, delighted with this association, said, "The Government, through key policy initiatives coupled with institutions lending for infrastructure development, is making India a fabulous destination on the global tourism map. TFCI being a specialized institution and one of the leading players in the industry, is well positioned to witness a multi-year credit growth. We, at Prime, are delighted to on-board high-quality investors from our network, as TFCI marches forward in its growth journey."
Shares of Tourism Finance Corporation of India Limited was last trading in BSE at Rs. 75.60 as compared to the previous close of Rs. 74.10. The total number of shares traded during the day was 192787 in over 3159 trades.
The stock hit an intraday high of Rs. 77.90 and intraday low of 74.35. The net turnover during the day was Rs. 14732995.00.