Shares of the small-cap company Vishal Fabrics are attracting attention today, Tuesday. The stock has reached its upper limit, rising by 5% to an intraday high of Rs 31.55.
This increase in share price is linked to a significant transaction involving SBICAP Trustee Company Limited, which has raised its stake in the company.
Vishal Fabrics Plans to Raise Funds
Vishal Fabrics has also announced a plan to raise funds via a preferential issue with a total size of ₹153 crores.
The company intends to use the funds to support working capital needs, repay unsecured loans and other debts, cover corporate expenses, and manage costs related to the issue.
Details of SBICAP’s Increased Stake
According to a statement from SBICAP Trustee Company Limited, it previously held 12,260,847 shares of Vishal Fabrics, giving it a 6.20% ownership in the company.
After acquiring more shares, SBICAP’s stake has increased to 12,622,350 shares, or 6.38%.
This means SBICAP has bought an additional 36,503 shares, equivalent to a 0.183% increase in its stake. This acquisition took place on October 31, 2024.
Fundraising Announcement
In addition, Vishal Fabrics announced plans to raise funds through a preferential issue. The total size of this issue is ₹153 crores (₹1,53,00,00,000).
The company intends to use these funds for various purposes, including working capital needs, repaying unsecured loans, paying creditors, and other general corporate expenses.
repaying unsecured loans and debts, general corporate purposes, and expenses related to the issue.