Diamond Power Infrastructure shares were locked in upper circuit of 9.93 per cent on the BSE after the company said, the board will meet on Monday, May 16, 2016, to evaluate various debt re-alignment options including stake sale to strategic investor and re-organisation of company’s various businesses.
Shares of Diamond Power Infrastructure surged 9.93 per cent to Rs 44.85 on BSE. The scrip opened at Rs 40.35 and has touched a high and low of Rs 44.85 and Rs 38, respectively, in trade so far.
The company will offer stake up to 51 per cent to a strategic investor and corporate bodies in line with guidelines laid down by statutory authorities and subject to approval of shareholders and lenders or its subsidiaries.
In a BSE filing, the company said among other things the board would “evaluate an investment and approve proposal from a strategic investor to infuse Rs 825 crore in the company for a major corrections its capital structure and improving its debt/equity gearing and or its subsidiaries subject to approval of company’s lenders and shareholders.”
In the past one year, the share price of the company plunged 23.16 per cent to Rs 40.80, whereas the BSE Sensex slid 8 per cent during the same period.