Texmaco Rail & Engineering Ltd Announces QIP of Equity Shares

On March 21, 2024, Texmaco Rail & Engineering Ltd informed in a stock exchange filing about the Qualified Institutions Placement (QIP) of equity shares under SEBI ICDR Regulations and relevant provisions of the Companies Act, 2013.

Details of the QIP

On Thursday, the Indian private engineering and infrastructure company, Texmaco Rail & Engineering Ltd announced Qualified Institutions Placement of equity shares. The floor price has been set at ₹162.88 per equity share.

The company stated in an exchange filing, “We wish to inform you that under the approval accorded by the Board of Directors of the Company, at its Meeting held on 15th September 2023, and the special resolution passed by the members of the Company by way of postal ballot on 23rd October 2023, the Capital Issue Committee (the “Committee”) has, at its Meeting held today, i.e. 21st March 2024, inter alia, considered and approved the following resolutions: a. Authorising the opening of the Issue today, i.e. 21st March 2024; b. Approving and adopting the preliminary placement document dated 28th March 2024, together with the application form in connection with the Issue; and c. Approving the floor price for the Issue, being Rs. 162.88 per Equity Share (Floor Price), based on the pricing formula as prescribed under the SEBI ICDR Regulations.”

The company further added that the ‘relevant date’ for the purpose of the issue, in terms of

Regulation 171 (b )(i) of the SEBI ICDR Regulations is March 21, 2024. Also, the floor price with respect to the issue has been determined based on the pricing formula prescribed under Regulation 176(1) of the SEBI ICDR Regulations. The company may also provide a discount of up to 5% on the floor price for the issue at its discretion.

The company will determine the issue price after consulting with the book-running lead managers appointed to deal with the issue. It is to be noted that the trading window will be closed with immediate effect until March 29, 2024, for the purpose of the issue. On March 27, 2024, a meeting of the Committee is scheduled to determine the Issue price, with potential discounts, in compliance with SEBI ICDR Regulations.

On March 22, 2024, the share price of Texmaco Rail & Engineering Ltd opened at ₹167.00, touching the day’s high at ₹170.90, as of 12:56 PM on the NSE.

About Texmaco Rail & Engineering Ltd

Texmaco Rail & Engineering Ltd is engaged in the manufacturing of rolling stock, which includes coaches, wagons, loco shells, EMUs, and more.

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