Shares of Power Grid Corporation of India Ltd hit their their record high today after the PSU power firm after the company’s board approved the proposal to raise by issuing bonds aggregating up to Rs 1,200 crore.
Power Grid shares rose 3.53% to fresh high of Rs 297.05 against the previous close of Rs 286.90 on BSE. Earlier, Power Grid stock opened higher at Rs 287.95. Market cap of the firm rose to Rs 2.73 lakh crore on BSE. A total of 9.75 lakh shares changed hands amounting to a turnover of Rs 28.67 crore on BSE. Later, the PSU stock closed 2.63% higher at Rs 294.45 .
"The Committee of Directors for Bonds in their meeting held on today i.e on 4th March, 2024 has approved the raising of Bonds as Unsecured, Non-convertible, Non-cumulative, Redeemable, Taxable POWERGRID Bonds - LXXVI (76th) Issue up to Rs. 1,200 crore," said Power Grid in a communication to bourses.
The base issue size will be Rs 400 crore with an option to raise an additional Rs 800 crore via the Green Shoe Option. The total issue size is Rs 1,200 crore.
The company’s shares have a beta of 0.3, indicating very low volatility in a year.
In terms of technicals, the relative strength index (RSI) of the stock stands at 60.4, signaling it's trading neither in the overbought nor in the oversold zone. Power Grid shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The firm reported a 10.5% year-on-year (YoY) rise in net profit to Rs 4,028.3 crore December 2023 quarter against net profit of Rs 3,645.3 crore in the corresponding quarter last year.
The board also approved the payment of second interim dividend of Rs 4.50 per equity share of Rs 10 each (45% of the paid-up equity share capital) for the financial year 2023-24. The interim dividend shall be paid to the members on March 5, 2024.