Here’s why Pondy Oxides shares rose 5% on September 24; details here: Pondy Oxides share price
Source: Business Standard
Pondy Oxides share surges: Shares of Pondy Oxides and Chemicals Limited (POCL) rose up to 4.73 per cent to hit an intraday high of Rs 2,130 per share on Tuesday, September 24, 2024.
The uptick in share price came after the company announced that it will raise funds worth Rs 250 crore via QIP, coupled with the record date announcement for the stock-split.
In an exchange filing, We would like to inform you that the Board of Directors in their meeting held on Monday, September 23, 2024, had inter-alia approved raising of funds by way of issuance of equity shares and / or any other eligible securities of the Company, in one or more tranches, through Qualified Institutional Placement (QIP) for an aggregate amount not exceeding Rs 250 crore.”
Qualified institutional placements (QIPs) is a capital-raising tool. Listed companies, via QIPs, raise capital without having to submit legal paperwork to market regulators.
Apart from that, the company also announced that October 16 has been fixed as the ‘Record Date’ for stock-split.
In a filing, the company said, “The Board of Directors of the Company in their meeting held today, i.e., September 23, 2024, have fixed the Record date on Wednesday, October 16, 2024 for the purpose of determining the eligible shareholders of the Company for Sub-division / Split of the existing equity shares of the Company such that 1 ( one) equity share having face value of Rs. 10/- (Rupees Ten only) each fully paid-up be sub-divided into 2 (Two) equity shares having a face value of Rs. 5/- (Rupees Five only) each fully paid-up.”
Pondy Oxides and Chemicals Limited (POCL) is a state-owned company that specialises in the production of lead, lead alloys, zinc, zinc oxide, and plastic additives. The products serve various industries, including electronics, plumbing, and automotive.
Established in 1995 as a registered brand with the London Metal Exchange (LME), POCL operates a smelting facility for lead battery scrap and engages in worldwide scrap procurement and product trading.
The company is listed on both the Bombay Stock Exchange and the National Stock Exchange of India.
Founded by RD Bansal, Devekar Bansal, and their associates in 1992, POCL began trading in zinc and lead sub-oxide in July 1993. It later set up a manufacturing plant in Pondicherry specifically for zinc oxide production.
With its headquarters in Chennai, Tamil Nadu, POCL exports its products to various Asian markets, including Japan, South Korea, Thailand, and the Middle East, solidifying its position in the global supply chain.
At 11:35 AM, shares of Pondy Oxides were trading 0.75 per cent higher at Rs 2,049 per share. In comparison, BSE Sensex was trading 0.06 per cent lower at 84,881.87 levels.
First Published: Sep 24 2024 | 11:38 AM IST
