Aditya Birla Capital shares rise 3%, hit 52-week high after preferential issue announcement

Aditya Birla Capital shares rose 3% to reach a 52-week high of INR176.5 on BSE after the company announced it will raise INR1,250 crore ($167m) through a preferential issue of shares to its promoter and promoter group firms. The funds raised would be deployed towards augmenting the capital base, improving the solvency margin and leverage ratio, fulfilling growth and funding requirements as well as for making investments in one or more subsidiaries/associates/joint ventures of the company. The company plans to seek shareholder approval for the preferential issue in an extraordinary general meeting on 24 June.