SpiceJet shares climb 7% intra day after board clears raising of funds via QIP

Shares of low-cost airline SpiceJet rose 7% today after the low-cost airline said its board approved raising  up to Rs 3,000 crore via issue of equity shares or any other eligible securities to qualified institutional buyers (QIBs). SpiceJet shares rose 7.27% intra day to Rs 58.80 on BSE today. Later, the airline stock ended 3.48% higher at Rs 56.72 on Tuesday against the previous close of Rs 54.81 on BSE.

In the current session, a total of 59.77 lakh shares of the firm changed hands amounting to a turnover of Rs 33.91 crore on BSE. Market cap of SpiceJet climbed to Rs 4,500 crore. The stock fell to a 52-week low of Rs 29 on July 31, 2023 and a 52 week high of Rs 77.50 on February 5, 2024.

The stock has lost 6.46% since the beginning of this year and risen 92% in a year

In terms of technicals, the relative strength index (RSI) of SpiceJet stands at 50.6, signaling it's trading neither in the overbought nor in the oversold territory. The stock has a beta of 1, indicating average volatility in a year

“The Company at its meeting held on July 23, 2024 from 1:00 p.m. to 1:15 p.m., has, inter-alia, considered and approved raising of funds aggregating up to Rs.3,000,00,00,000 (Rupees Three Thousand Crore only) through issue of equity shares or any other eligible securities to qualified institutional buyers by way of qualified institutional placement under the provisions of the SEBI (Issue of Capital and Disclosure Requirements) Regulations 2018, and any other methods including by way of further issue, in accordance with the relevant provisions of applicable laws and subject to approval of the shareholders of the Company and other applicable regulatory and contractual approvals, as may be required,” said SpiceJet in a communication to bourses.