Rs 2500 Crore Fundraise: This Aditya Birla Group Company Is Eying QIP - Details

Aditya Birla Fashion and Retail Limited (ABFRL) announced a significant financial move to fuel its growth ambitions.

On January 15, 2025, the company's Board of Directors approved a Qualified Institutions Placement (QIP) to raise up to Rs 2,500 crore. This decision follows shareholder approval granted during the Annual General Meeting held on September 19, 2024.

‘Board of Directors of the Company at its meeting held today (“the meeting”) have, inter alia, approved issuance of equity shares by way of Qualified Institutions Placement, for an aggregate amount not exceeding ₹ 2,500 Crores (Rupees Two Thousand Five Hundred Crore only)’ as mentioned in the exchange filing.

Aditya Birla Fashion Approves Fundraising Plan 
In another exchange filing the company announced plans to raise Rs 1,297.5 crore through the issuance of up to 4,08,72,580 equity shares under the promoter/promoter group category. These shares, with a face value of Rs 10 each, will be priced at Rs 317.45 per share, including a premium of Rs 307.45.

Funds from Qualified Institutional Buyers
To further strengthen its financial position, the company will raise Rs 1,081.25 crore by issuing up to 3,96,97,838 equity shares to qualified institutional buyers. These shares, also carrying a face value of Rs 10 each, will be offered at Rs 272.37 per share, inclusive of a Rs 262.37 premium.

Extraordinary General Meeting Scheduled
An Extraordinary General Meeting (EGM) is set for February 13, 2025, to seek shareholder approval for these fundraising activities. The initiative reflects ABFRL’s focus on ensuring financial flexibility to fuel its growth ambitions.

The funds raised will bolster ABFRL's capacity to execute its strategic expansion plans, enabling the company to strengthen its market presence. With a portfolio that includes prominent brands like Louis Philippe, Van Heusen, Allen Solly, and Pantaloons, the infusion of capital is expected to facilitate business diversification and growth.

Also Read: Adani Green Energy Share Price Today Soars 7% - Details | Republic Business