Shares of Borosil Ltd jumped over 4 percent on June 25, a day after the company informed that its board approved Qualified Institution Placement (QIP) at floor price of Rs 331.75 per share. The company aims to raise up to Rs 250 crore through this route, it said in an exchange filing.
"The Board has at its meeting held today, i.e., June 24, 2024, inter-alia, considered the following: 1. Approved and authorised the opening of the Issue today, i.e. June 24, 2024; 2. Approved and adopted the preliminary placement document dated June 24, 2024; and 3. Approved the floor price for the Issue, being Rs. 331.75 per equity share based on the pricing formula as prescribed under SEBI ICDR Regulations," said Borosil in a stock exchange filing.
Earlier this year in January, the company's board approved raising funds aggregating up to Rs 250 crore via QIP.
Borosil Limited manufactures laboratory glassware and microwavable kitchenware. The company sells and markets microwavable and flameproof kitchenware and glass tumblers through more than 15,000 retail outlets, and has three manufacturing facilities.
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The company has 4 manufacturing facilities whose products are sold and distributed in 70+ countries.
The company’s Consumer Products segment marks for 72 percent of company revenue which includes microwaveable glassware products, glass tumblers, storage containers, stainless steel cookware, opal dining ware, kitchen appliances, lunch boxes, and stainless-steel flasks.
In the Microwaveable glassware segment, the company has been a market leader with over 60 percent market share.
At 11:57 am, Borosil shares were trading 3.7 percent higher at Rs 357.55 apiece on NSE. With today's spike, the stock has gained over 5 percent year-to-date. In the last one year, however, the stock has tumbled 16 percent, underperforming benchmark Nifty 50 which surged 25 percent during this period.
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