
Aditya Birla Fashion and Retail Limited (ABFRL) has approved the issuance of equity shares worth ₹2,379 crore through a preferential allotment. The Board of Directors finalized this decision during a meeting held on January 15, 2025.
Key Details of the Preferential Allotment
- Promoter Group Allocation:
- Investor: Pilani Investment and Industries Corporation Limited, part of the Aditya Birla Group.
- Shares Issued: Up to 4,08,72,580 equity shares.
- Issue Price: ₹317.45 per share (including ₹307.45 premium).
- Total Amount Raised: ₹1,298 crore.
- Post-Issue Shareholding: Pilani Investment’s stake will rise to 3.90% from 0.37%.
- Non-Promoter Allocation:
- Investors: Fidelity Blue Chip Growth Fund and its affiliates, including Fidelity Series Blue Chip Growth Fund and FIAM Target Date Blue Chip Growth Commingled Pool.
- Shares Issued: Up to 3,96,97,838 equity shares.
- Issue Price: ₹272.37 per share (including ₹262.37 premium).
- Total Amount Raised: ₹1,081 crore.
Approval Process and Next Steps
The issuance is subject to shareholder approval at an Extraordinary General Meeting scheduled for February 13, 2025. The company has also filed the necessary regulatory disclosures with the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
This preferential issue demonstrates ABFRL’s strategic focus on scaling operations and enhancing market leadership in India’s competitive fashion and retail industry.
Disclaimer: The information provided is for informational purposes only and should not be considered as financial or investment advice.