Texmaco Rail shares surge nearly 1% as QIP launch aims to raise Rs 750 crore

Texmaco Rail’s shares may continue their upward momentum on November 22, following the launch of its Qualified Institutional Placement (QIP) with the objective of raising Rs 750 crore at a floor price of Rs 135.90 per share. The QIP issuance also incorporates a green shoe option of Rs 200 crore.

Qualified institutional placements offer a means to issue shares to the public while bypassing standard regulatory compliance, with only qualified institutional buyers (QIBs) permitted to participate in the process. The inclusion of a green shoe option typically empowers underwriters to sell more shares than the initial issue amount.

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The Kolkata-based engineering and infrastructure company intends to allocate the funds generated from the QIP for various purposes. These include funding capital expenditures, settling borrowings, supporting working capital requirements, and addressing general corporate needs.

As of 11:27 am, Texmaco Rail’s shares showed a positive trend, trading 0.10% higher at ₹149.30.