Shares of non-banking finance company Shriram Transport Finance has rallied 8% to Rs 645 on back of heavy volumes despite the most of financial stocks trading lower on the bourses.
The stock opened at Rs 599 and touched high of Rs 649 on NSE. A combined around 700,000 shares already change hands on the counter till late noon deals against an average sub 350,000 shares that were traded daily in past two weeks on NSE and BSE.
The stock has rallied 29% since September 5, as compared to 7% rise in benchmark CNX Nifty, on reports that the company is planning to raise up to Rs 500 crore through non convertible debentures (NCDs) to support financing activities.
The company has filed a draft offer document for public issue of secured redeemable NCDs, the PTI report suggests.
The proceeds from the issue would be utilised for financing activities including lending and investments. Besides, the fund would be used for repaying existing loans and for business operations including capital expenditure and working capital requirements, added report.
The stock opened at Rs 599 and touched high of Rs 649 on NSE. A combined around 700,000 shares already change hands on the counter till late noon deals against an average sub 350,000 shares that were traded daily in past two weeks on NSE and BSE.
The stock has rallied 29% since September 5, as compared to 7% rise in benchmark CNX Nifty, on reports that the company is planning to raise up to Rs 500 crore through non convertible debentures (NCDs) to support financing activities.
The company has filed a draft offer document for public issue of secured redeemable NCDs, the PTI report suggests.
The proceeds from the issue would be utilised for financing activities including lending and investments. Besides, the fund would be used for repaying existing loans and for business operations including capital expenditure and working capital requirements, added report.
