Piramal Enterprises Limited informed the stock exchanges about an investment of ₹1,000 crore in its wholly owned subsidiary, Piramal Capital & Housing Finance Limited (PCHFL).
The funds will be raised through a subscription to a rights issue by PCHFL. This strategic move is expected to support business growth and general corporate purposes.
Following the transaction, there will be no change in Piramal Enterprises’ ownership stake in PCHFL, as it remains a fully owned subsidiary. The shareholding structure of Piramal Enterprises remains unaffected by this investment.
This rights issue transaction is exempt from related party transaction regulations because it involves a holding company and its wholly owned subsidiary. PCHFL has demonstrated consistent growth in recent years, with turnover figures of ₹6,03,861 lakhs, ₹6,59,178 lakhs, and ₹6,66,356 lakhs for FY22, FY23, and FY24, respectively.
On January 1, 2025, Piramal Enterprises share price opened at ₹1,107.95, touching the day’s low at ₹1,098.65, as of 9:46 AM on the NSE.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Jan 1, 2025, 9:49 AM IST
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