Prestige Estates Mega New QIP of Rs 5000 Crore
Prestige Estates Projects Limited, based in Bengaluru, recently announced that its board has approved a plan to raise ₹5000 crore through qualified institutional placement (QIP) or other permissible modes. This fundraising initiative aims to strengthen the company’s financial position and support its growth strategies.
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In addition to the fundraising plan, the board also approved the monetization of the company’s hospitality assets through a share issue. This decision was made in order to maximize the value of these assets and enhance shareholder value. A sub-committee has been formed to oversee this process and ensure compliance with all regulatory requirements.
The company stated in a regulatory filing, “The Board of Directors of Prestige Estates Projects Limited have considered and approved the raising of funds by way of issuance of equity shares or other eligible securities for an aggregate amount not exceeding ₹5000 crore. This will be done through QIP or other permissible modes in accordance with applicable laws.”
Furthermore, the board decided to monetize assets of the hospitality segment through Prestige Hospitality Ventures Limited, a wholly owned subsidiary of the company. This will involve issuing shares, either through primary or secondary offerings, subject to shareholder approval, market conditions, and receipt of necessary approvals.
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Prestige Estates Mega New QIP of Rs 5000 Crore, Overall, this strategic decision by Prestige Estates Projects aims to enhance the company’s financial flexibility and support its future growth initiatives. As a result of these announcements, shares of the company closed at Rs1,995.00 on June 21, marking a decrease of 0.93%.
