Mar 13, 2013, 03.36 PM | Source: Moneycontrol.com
Anil Dhirubhai Ambani Group company Reliance Mediaworks went up as much as 2.7 percent intraday on Wednesday as the company plans to raise upto Rs 600 crore via rights issue.
Axis Capital Limited has been appointed as the sole lead manager.
According to the prospectus filed with SEBI, the company proposes to use issue proceeds for repayment of debt. About Rs 380 crore will be used for payment of debts to Reliance Capital and Rs 176 crore to other lenders (mainly banks).
Reliance Capital and Reliance Land hold 18.49 percent and 44.66 percent stake in the company as of December 2012, respectively.
At 12:43 hours IST, shares gained 0.51 percent to Rs 58.70 on Bombay Stock Exchange.
Market capitalisation of the company currently stands at Rs 270.76 crore.