PG Electroplast launches QIP with floor price at ₹705.18 per share

PG Electroplast Limited has approved the launch of its Qualified Institutions Placement (QIP), setting the floor price for the equity issue at ₹705.18 per share. The decision was made by the QIP Committee in a meeting held today, following the approval of the company’s Board of Directors on October 19, 2024, and shareholder approval via a special resolution passed on November 13, 2024.

The floor price for the QIP has been determined in accordance with the Securities and Exchange Board of India (SEBI) ICDR Regulations, with the ‘Relevant Date’ for the issue being December 4, 2024. The company may offer a discount of up to 5% on the floor price at its discretion.

The company said it has filed preliminary placement document and application forms on both the BSE and NSE. The final issue price will be decided by the company in consultation with the appointed Book Running Lead Managers.

The company, after its September quarter, raised its revenue and net profit guidance for the full year. During the quarter, revenue for PG Electroplast grew by 46% year-on-year, while its net profit grew by 57%.

As a result, the company increased its revenue guidance to ₹4,250 crore from ₹3,650 crore earlier and profit guidance to ₹250 crore.

Shares of PG Electroplast ended 0.5% higher on Wednesday at ₹771. The stock is still up 161% so far in 2024, despite having corrected 12% from its recent peak of ₹710.