Shares of fast-moving consumer goods (FMCG) company Elitecon International traded in the green today after the company announced that its board of directors considered and approved a proposal to raise up to Rs 1,000 crore. As per the information shared with exchanges, the company will fund through a Qualified Institutional Placement (QIP) or other eligible securities, which may include instruments convertible into or exchangeable for equity shares. The company may raise funds in one or more tranches.
Share price today
The stock is in action amid this development and gained after three days of consecutive falls. The counter opened in green at Rs 7.19 on the BSE against the previous close of Rs 7.16 on the BSE. It later gained to touch the intraday high of Rs 7.32, representing a gain of Rs 0.16 or 2.23 per cent. Last seen, the stock was trading at Rs 7.20 and the market cap of the company stood at Rs 1,150.92 crore.
Meanwhile, the BSE has placed the stock under the Short Term Additional Surveillance Measure Stage 1 (ST ASM-1) framework.
The stock’s 14-day relative strength index (RSI) is 29. For the uninitiated, a level above 70 is considered overbought or overvalued, and below 30 is defined as oversold or undervalued.
Technically, the stock traded lower than the 5-day, 20-day, 50-day, 100-day and 200-day moving averages
Based on 2 per cent of the 5-day average traded value, the stock is liquid enough for a trade size of Rs 0.11 crore.
Key highlights of the board decision:
- Quantum of Fundraise: An aggregate amount not exceeding Rs 1,000 crore.
- Route: Qualified Institutional Placement (QIP) and/or issuance of other eligible securities under Chapter VI of SEBI (ICDR) Regulations, 2018.
- Next Steps: The proposal is contingent upon receiving requisite statutory clearances and approval from the company’s shareholders via a special resolution.
Share price history
According to BSE Analytics, the stock has delivered returns of around 100 per cent over two years and 580 per cent over five years. However, the stock has corrected 95.44 per cent in one year. On a year-to-date basis, it has dipped 93.01 per cent, compared to the drop of 14.33 per cent in the benchmark index.
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