Shares of Ballarpur Industries surged nearly 14 per cent today as International Finance Corporation will invest USD 100 million (about Rs 616 crore) in Bilt Paper BV, a step-down subsidiary of the paper manufacturer, in lieu of fresh shares.
Ballarpur Industries' scrip zoomed 13.49 per cent to Rs 18.50 on the BSE.
At the NSE, it surged 13.84 per cent to Rs 18.50.
"BPBV has entered into definitive agreements with IFC for subscription of new shares worth USD 100 million at an implied pre-money valuation of USD 600 million," Ballarpur Industries had said in a BSE filing yesterday.
"This will result into a shareholding of IFC in BPBV of 14.29 per cent," the company had said.
Bilt Paper is also exploring the possibility of listing of its shares at an overseas stock exchange.
The subscription of shares is subject to fulfilment of conditions set out in the definitive documents, it said.
In June, Ballarpur had said that BPBV is evaluating and exploring options with IFC for receiving potential investment from IFC, in a combination of debt and/or equity in BPBV and/ or its step-down subsidiaries.
