Manappuram Finance shares rise on plan to raise funds next month

Shares of Manappuram Finance Ltd ended higher amid a volatile market today after the firm disclosed its plan to raise funds in July. Manappuram Finance stock ended 1.45% higher at Rs 125.65 on BSE. It opened flat at Rs123.80 against the previous close of Rs 123.85 today.  Market cap of the firm rose to Rs 10,635 crore.  In terms of technicals, the relative strength index (RSI) of the stock stands at 58.7, signaling it's trading neither in overbought nor in the oversold zone. Manappuram Finance shares have a beta of 1.5, indicating high volatility in a year. Stock of Manappuram Finance is trading higher than the 20 day, 50 day, 100 day and 200 day moving averages but lower than the 5 day moving average.

The stock has gained 43.44% in one year and gained 5.23% since the beginning of this year. Total 9.24 lakh shares of the firm changed hands amounting to a turnover of Rs 11.48 crore on BSE. 

“The company is considering various options for raising funds through borrowings including by the way of issuance of various debt securities in onshore / offshore securities market by Public Issue, on Private Placement Basis or through issuing Commercial Papers. Based on the prevailing market conditions, the Board of Directors / Financial Resources and Management Committee / Debenture Committee of the Board of Directors of the Company may consider and approve issuances of Debt Securities during the month of July, 2023, subject to such terms and conditions including the issue price of debt securities, as the Board / respective Committee may deem fit,” said the firm.

The non-banking financial company reported a 58 per cent jump in consolidated net profit at Rs 413 crore for the quarter ended March 31, 2023 against a consolidated profit of Rs 261 crore a year ago.

The board has announced an interim dividend of Rs 0.75 per equity share of face value Rs 2 each. Revenue of the Kerala-based NBFC climbed 19% to Rs 1,771 crore compared to Rs 1,481 crore in the year-ago period.

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