According to market sources, Puravankara Projects has finalised an investment banker for diluting the promoters current stake in the company.
The company has got an approval from market regulator Sebi to issue 4.5 crore equity shares either through institutional placement programme or any other permitted methods, subject to the approval of the shareholder in an extra-ordinary general meeting, sources said.
Reacting to the development shares of the company have seen a handsome gain in the past two trading sessions and have surged from Rs 89.10 as on February 18 to Rs 109.30 as on the close of trading today, registering an increase of 22.67 per cent.
Accordingly, the market capitalisation of the company improved significantly by Rs 430 crore to Rs 2,332 crore from Rs 1,902 crore as on February 18.
Marketmen attributed the rise in the stock largely due to stake dilution news. Moreover, the company also recently said it is looking to expand in other parts of India, which helped boost investor sentiments.