Multibagger stock Sheetal Diamonds declares preferential shares after 1250% rally in YTD
Sheetal Diamonds preferential issue 2023: Shares of Sheetal Diamonds Ltd are one of the multibagger stocks that Indian stock market has delivered in 2023. The micro-cap stock has risen from around ₹4.61 to ₹61.66 apiece levels in YTd time, delivering around 1,250 per cent return to its shareholders in 2023. However, it seems that the multibagger stock still has some steam left in it. During Thursday dealings, Sheetal Diamonds share price touched new life-time higih of ₹61.66 apiece levels on NSE, locking-in 5 per cent upper circuit.
Stock market investors had gone highly bullish on the microcap multibagger stock after announcement of fund raise via issuance of preferential issues. The small-cap company had informed Indian stock market bourses about the move during Thursday deals. It also informed that the move aims to raise 49.95 crore fund, which will be used for setting up retail stores across India.
Sheetal Diamonds preferential issue details
The multibagger stock informed Indian exchanges in its exchange filing, “In terms of Regulation 30 read with Schedule III of the SEBI Listing Regulations, we hereby inform you that at the meeting of the Board of Directors (“Board”) of Sheetal Diamonds Ltd (“Company”) held today, i.e., Wednesday, December 27, 2023, the Board, in consultation with the Preferential Issue Committee formed for this purpose, has approved a Preferential Issue of 83,25,000 Equity Shares of ₹5 each at an Issue Price of Rs. 60 including premium of ₹55 per share aggregating to ₹49.95 Crore (Rupees Forty-Nine Crore Fifty Lakhs) subject to approval of Shareholders.”
The company board also decided to change its name to Rajnish Retail Limited. The proposed allotees include various entities from the promoter and non-promoter group. The promoter, Rajnishkumar Singh, will look to subscribe to 18,00,000 shares, while other non-promoter group entities will subscribe to 65,25,000 shares, at a price of ₹60 per share.
Rajnishkumar Singh, the visionary behind Rajnish Wellness Ltd.’s success with Dava Discount stores, had earlier completed the acquisition of Sheetal Diamonds Ltd. As a result of conditions of open offer and change in control of management, the new board will now be led by Rajnishkumar Singh (promoter and Chairman), and Apra Shah, Lovish Kataria, & Renu Kaur, who will all serve as Additional Non-Executive independent directors. Vijay Kumar Chopra will serve as the CEO and Executive director.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decision.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it’s all here, just a click away! Login Now!
Download Finplay News App to get Daily Market Updates.
More
Less
Published: 29 Dec 2023, 09:16 AM IST
Ganesh
http://ganesh@finplay.inFinance enthusiast, Mutual fund expert.