Inox Leisure raises Rs 250 crore from qualified institutional placement

Indian rupee banknotes

Leading multiplex chain Inox Leisure on Friday raised Rs 250 crore from a qualified institutional placement (QIP) of shares.

The QIP issue, involving selling over 98 lakh shares at Rs 255 a share, which carry a face value of Rs 10, was oversubscribed 3.5 times by marquee global and domestic institutional investors, the company said in a statement.

The QIP, which opened on November 9 and closed on November 12, got subscription from investors like the Abu Dhabi Investment Authority, Eastspring Investments, ICICI Prudential, Birla Mutual Fund, Nippon India Mutual Fund, DSP Mutual Fund and Sundaram Mutual Fund, among others.

The issue allocation is around 69 per cent and 31 per cent to domestic and foreign investors respectively, the company said.

Siddharth Jain, a director at Inox Group said, The response to the QIP issue endorses the faith investors have in the future of our business model.

The funds will be utilised to meet capital expenditure requirements for the ongoing and future projects, to sustain growth, for business expansion and to improve financial leveraging strength apart from meeting working capital requirements and debt repayment.

Inox Leisure operates 147 multiplexes with 626 screens across 68 cities.

The company's shares were trading nearly 1 per cent down over its previous close at Rs 266.75 on the BSE.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel