Greenlam Industries rose over 11% to hit an intraday high at Rs.331.15 on the back of an almost 9x surge in volumes. Its 52-week high is at Rs.415.90.
The stock is buzzing all around after the Board approved an issue of shares to Smiti Holding and Trading Company worth Rs 195 crore on a preferential basis at Rs.309 per share.
Smiti Holding and Trading Company Private Limited is a 100 per cent owned by Jalaj Ashwin Dani and Vita Jalaj Dani and is a qualified institutional buyer.
The board is convening an extra-ordinary general meeting on July 16 to seek necessary approval of the members for the issuance.
QIPs are good for a company as it saves time while giving access to capital for future needs much faster than all other processes. The speed is because QIPs have far fewer legal rules and regulations to follow, making them much more cost-efficient.