HFCL raises Rs.600 crore through QIP issue

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New Delhi : HFCL Limited (HFCL), a leading innovation led telecom enterprise has raised Rs. 600 crores via QIP issue. The QIP has shown an overwhelming response from the Institutional investors like Reliance Ventures, Quant Mutual Fund, IIFL Wealth, Elara India, Discovery, Segantii, Millennium amongst others who participated in the fund raise program of the Company.

The QIP proceeds shall be predominantly utilized towards funding of capital expenditure requirements for setting up of new manufacturing facilities, capacity expansions and expenditure on R&D and product development.

Earlier, the Board of Directors of the Company at its meeting held on September 03, 2021 had passed an enabling resolution to raise funds by way of private placement or preferential issue or public issue or rights issue or qualified institutional placement or through any other permissible mode and/or combination thereof, which was also approved by the shareholders in their 34th annual general meeting held on September 30, 2021.

The Fund Raising Committee of the Board of Directors of the Company decided to raise funds through QIP and the Issue was opened on December 06, 2021 and was closed on December 09, 2021. The Fund Raising Committee of Directors at its meeting on December 10, 2021, approved the issue and allotment of 8,72,72,727 Equity Shares of~ 1 each to 21 qualified institutional buyers at the issue price of ~ 68.75 per Equity Share (including a premium of~ 67.75 per Equity Share), aggregating to ~ 600 crores. The trading of the newly allotted equity shares will commence from today i.e. December 14, 2021 at the National Stock Exchange of India Limited and BSE Limited .

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