Pondy Oxides and Chemicals approved raising up to Rs 250 crore via QIP

India’s top manufacturer of plastic additives, lead alloys, and lead oxides is Pondy Oxides and Chemicals Limited (POCL). incorporated as a public limited company in March 1995 by enterprising individuals. POCL is traded on the National Stock Exchange of India Limited and the Bombay Stock Exchange. Since its founding, POCL has expanded annually and developed a solid reputation for itself both domestically and abroad. In addition to receiving numerous accolades as the leading exporter from the southern Indian region, POCL was bestowed with the esteemed designation of STAR EXPORT HOUSE by the Ministry of Finance and Commerce. By building yet another cutting-edge smelter in South India, POCL is currently working to increase its capacity in lead and lead alloys. By providing value through its continuous improvement process, investments, and technological upgrades that maintain parity with international standards, POCL pledges to add value to every stakeholder.

POCL is raising the funds via QIP:

The announcement of the record date for the stock split and the company’s intention to raise funds through QIP caused the share price of POCL to rise by 5% intraday. In a filing with the exchange, we would like to notify you that, among other things, the Board of Directors approved the raising of funds for an amount not to exceed Rs 250 crore through the Qualified Institutional Placement (QIP) of equity shares and/or any other eligible securities of the company, in one or more tranches.” In addition, the business declared that October 16 would be the “record date” for the stock split. 

The company stated in a filing that “During their meeting held today, September 23, 2024, the Board of Directors of the Company fixed the record date on Wednesday, October 16, 2024, to determine the eligible shareholders of the Company for sub-division/split of the existing equity shares of the Company such that 1 (one) equity share with a face value of Rs. 10/- each fully paid-up be sub-divided into two equity shares with a face value of Rs. 5/- each fully paid-up.”

POCL stock is nearly 5% up in intraday:

The stock of Pondy Oxides and Chemicals Limited (POCL) is currently trading at Rs. 2,040.55 per share, having reached its highest traded price of Rs. 2130 per share today.

Conclusion: POCL is raising money through QIP and is planning to split its stock to use the Rs. 250 crore raised for expansion.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.