Varun Beverages Limited (VBL) has announced the launch of its Qualified Institutions Placement (QIP) of equity shares with a face value of ₹2 each. Approved by the Board on October 9, 2024, and subsequently by shareholders on November 8, 2024, the QIP aims to raise capital under Chapter VI of the SEBI ICDR Regulations, 2018, and Sections 42 and 62 of the Companies Act, 2013.
Key details of the QIP are as follows:
- Floor Price: The floor price for the issue has been set at ₹594.56 per equity share, in accordance with SEBI’s pricing formula under Regulation 176(1) of the SEBI ICDR Regulations.
- Discount Option: The company may offer a discount of up to 5% on the floor price, depending on final discretion.
- Relevant Date: The relevant date for the pricing of this issue is November 13, 2024.
The issue price will be finalized in consultation with the book running lead managers appointed for this QIP. Additionally, VBL has implemented a trading window closure from November 14, 2024, until 48 hours after the issue price is determined, as per its insider trading policy and SEBI regulations.
This QIP marks a strategic move by Varun Beverages to strengthen its capital base, aligning with growth and expansion plans.
