Laxmi Organic surges 8%, raises Rs 259 crore via QIP

Laxmi Organic shares jumped more than 8 percent in the early trade on October 11 after the company raised Rs 259 crore through qualified institutional placement (QIP).

The company’s board determined and approved the allocation of 96.25 lakh equity shares at an issue price of Rs 269.20, a discount of 4.97 percent to the floor price of Rs 283.27.

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The QIP issue opened on October 5 and closed October 10. The paid-up equity share capital of the company has gone up from Rs 53.1 crore consisting of 26.55 crore equity shares to Rs 55 crore consisting of 27.52 crore shares.

Laxmi Organic Industries makes specialty chemicals catering to sectors like pharmaceuticals, agrochemicals, food packaging, pigments and coatings.

At 9.40 am, the stock was trading at Rs 295 on the National Stock Exchange, up 8.4 percent from the previous close.

The stock has lost 1.21 percent this year. In the last year, it has tumbled over 11 percent, underperforming the benchmark Nifty 50.

In the June quarter, promoters held 72.39 percent stake in the firm, with the remaining 27.61 percent with public shareholders.

Mutual Funds decreased holdings in the company from 1.52 percent to 1.40 percent in the first quarter, while FII/FPI raised their holdings from 0.47 percent to 0.48 percent during the period.

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