Parag Milk Foods Limited Raises ₹161 Crore

Parag Milk Foods Ltd., a leading player in the dairy FMCG sector, has announced the Board's approval, subject to shareholder's approval, to issue convertible warrants on a preferential basis amounting to ₹161 crore. This aims to optimize the company's debt and/or support working capital and capital expenditure initiatives of the Company. The Board has approved the issuance of 90,00,000 (Ninety Lakh) Convertible Warrants, each carrying a face value of ₹10/-, at an issue price of ₹179.10/- per share warrant (including a premium of ₹169.10/-). Upon conversion, these warrants will translate into 90,00,000 fully paid-up equity shares.

The preferential allotment has been made to a distinguished group of investors as mentioned below:

- Key Stakeholders: Mr. Utpal Sheth, Mr. Rajesh Kabra, Mr. Vishesh Dalal, and M/s Trishakti Power Holdings Pvt Ltd.

- Mr. Ankit Jain, Chief Strategy Officer, Parag Milk Foods, who would be allotted 2 lakh convertible warrants, reinforcing his confidence in the company's future growth prospects.

- Promoters: Mr. Devendra Shah, Chairman Parag Milk Foods and Mr. Pritam Shah, Managing Director who continue to play a pivotal role in the company's strategic direction.

Out of the seven allottees, four are non-promoters, two are promoters, and one is a senior leader within the Company. Their participation in this fundraising initiative reflects strong internal confidence in Parag Milk Foods' future growth.

Mr. Devendra Shah, Chairman, Parag Milk Foods Ltd., commented on this development, stating, "This strategic investment is a major milestone in our growth journey. It reaffirms our assurance to delivering high-quality, value-driven dairy products while expanding our footprint globally. The trust and confidence shown by our investors inspire us to accelerate our vision, enhance our capabilities, and drive long-term value creation for all stakeholders."

With this strategic infusion of capital, Parag Milk Foods is well-positioned to enhance its operational efficiency, drive innovation, and further strengthen its market leadership in the dairy industry.

Shares of Parag Milk Foods Limited was last trading in BSE at Rs. 168.85 as compared to the previous close of Rs. 169.50. The total number of shares traded during the day was 55925 in over 893 trades.

The stock hit an intraday high of Rs. 171.05 and intraday low of 162.55. The net turnover during the day was Rs. 9316808.00.

Source : Equity Bulls

Keywords

ParagMilkFoods INE883N01014 FMCG DairySector FundRaising ConvertibleWarrants PreferentialIssue