Fund raising via QIP down 67% to Rs 4,300-crore in Apr-Nov FY17
In comparison, companies had mopped-up Rs 13,067 crore in April-November period of last fiscal (2015-16).
Indian firms raised over Rs 4,300 crore through issuance of shares to institutional investors during April-November period of the current fiscal, a sharp plunge of 67% from a year-ago period.
The funds have been mobilised for business expansion, refinancing of debt, working capital requirements and other general corporate purposes.
Qualified Institutional Placement (QIP) is an alternative mode of resource raising available to listed companies for raising funds from domestic market.
In a QIP, a listed entity issues equity shares, fully and partly convertible debentures, or other securities that are convertible to equity shares to institutional investors.
As per the latest data available with the Securities and Exchange Board of India (Sebi), funds raised by the listed firms through QIP route stood at Rs 4,318 crore in the first eight months (April-November) period of 2016-17.
In comparison, companies had mopped-up Rs 13,067 crore in April-November period of last fiscal (2015-16).
In terms of numbers, 12 issues were witnessed in the first eight months of the current fiscal as compared to 19 during the same period of the previous financial year. In 2015-16, total funds raked in by listed companies via QIP stood at Rs 14,588 crore.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.