Apollo Tyres shares fall 5% despite investment by Warburg Pincus-owned company
The CCPS shall carry a dividend at the rate of 6.34 percent per annum, Apollo Tyres said.
February 26, 2020 / 03:37 PM IST
Shares of Apollo Tyres fell more than 5 percent intraday on February 26 despite an investment made by a Warburg Pincus-owned company.
The weak market sentiment could be the reason behind the fall in the share price.
"Board of directors approved issuance of upto 10.8 crore compulsorily convertible preference shares (CCPS) of face value of Rs 100 each, for an aggregate amount of upto Rs 1,080 crore to the investor Emerald Sage Investment," the tyre maker said in its BSE filing.
The CCPS shall carry a dividend at the rate of 6.34 percent per annum, it added.
Emerald Sage Investment is owned by private equity investor Warburg Pincus.
The stock was quoting at Rs 149.55, down Rs 4.85, or 3.14 percent on the BSE at 15:00 hours IST.