Welspun Enterprises Gains On Fundraising Approval

Shares of Welspun Enterprises surged 9.6% in intra-day trade on Wednesday to ₹578.3. This marked the stock’s third gain in four sessions, after declining for three straight sessions.

In a press release dated October 15, Welspun Enterprises approved the raising of up to ₹1,000 crore through the issuance of 1,90,47,619 warrants on a preferential basis, each convertible into one equity share of ₹10 at an issue price of ₹525 (including a ₹515 premium).

Promoter Balkrishan Goenka is expected to issue 71,23,809 warrants, while non-promoters, including Authum Investment & Infrastructure, will issue 57,14,286 warrants, and Aryavardhan Trading is set to issue 19,04,762 warrants.

The total fundraising through this issuance, along with the conversion to equity shares, is expected to be completed within 18 months from the date of warrant allotment.

Recently, the company disclosed its status as the lowest (L1) bidder in two major projects.

The first is the construction of a six-lane partially elevated highway corridor from Pune to Shirur in Maharashtra, awarded under the Ministry of Road Transport and Highways. The project, valued at approximately ₹7,300 crore, will be executed over four years with a 29-year concession period.

The second project involves developing a 910 MLD water treatment plant at Panjrapur, Maharashtra. Valued at around ₹3,145 crore, it includes design, construction, and 15 years of operations and maintenance, in partnership with Veolia Water Technologies, Malaysia.

Stock Watch

Welspun Enterprises shares have gained more than 16% over the past month. However, on a year-to-date basis, the stock has shed around 9%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Share

·

Add us on