The indicative issue price represents a 5% discount to the company’s Tuesday closing price of ₹3,656.40. The QIP will dilute the company’s pre-issue outstanding equity share capital by 3.7%.
Aditya Infotech plans to use the proceeds to repay debt at the company and AIL Dixon. The funds will also be used for the Phase III expansion of its Kadapa facility and to set up a manufacturing plant in Greater Noida.
A portion of the proceeds will be used to fund potential acquisitions, although the company has not identified the targets.
The company had said on Aug. 19 that its board had approved a proposal to raise up to ₹1,500 crore through an equity issue. It said the fundraise could be carried out through one or more permitted routes, including a public issue, a QIP or a combination of the two, subject to shareholder and regulatory approvals.
Aditya Infotech shares rose 5% on Tuesday to close at ₹3,656.40, gaining ₹174.10 during the session.