Muthoot Capital has dropped 2% in noon trades following the board's approval of a rights issue.
The company board has approved a rights issue of 65 lakh equity share at Rs 80 a share, in the ratio of 1:1. However, the rights issue price of Rs 80 is in 19% discount to the current trading price of the share.
The stock opened at Rs 99 and slipped quickly to a low of Rs 96 - down 5% from the previous close. The stock is now down 2.3% at Rs 98.50. The counter has witnessed hefty trades of 11,253 shares so far as against a two-week average of 4,787 shares on the BSE.
