Mufin Green Finance shares jump 9% as board approve preferential allotment

Shares of Mufin Green Finance Ltd rallied in Friday's trade after the company board approved allotment of convertible warrants on a preferential basis to investors belonging to promoter and non-promoter category investors.

The company board has approved allotment of 2.55 crore warrants at an issue price of Rs 55 apiece, amounting to Rs 140.25 crore, said the company in an exchange filing. These warrants are to be converted into equity shares with a span of 18 months from the date of issue and each warrant can be converted into one equity shares of the company.

Allottee investors need to pay 25 per cent of the issue price as the upfront amount at the time of issue of warrant, while the remaining sum shall be paid on their conversion into equity shares. However, the conversion can be one in one or more tranches.

Following the announcement, shares of Mufin Green Finance surged more than 9 per cent to Rs 82.73 on Friday, hitting its new record highs, commanding a total market capitalization of close to Rs 1,200 crore. The scrip had settled at Rs 75.77 in the previous trading session.

Shares of Mufin Green Finance have rallied more than 250 per cent from its 52-week low at Rs 23.34, while it is up about 115 per cent in the last six months. The stock has more than doubled investors' wealth in the year 2023 so far, while it gained about 65 per cent in the last one month.

The company board of Mufin Green Finance also approved to increase the authorized share capital of the company to Rs 50 crore from Rs 20 crore, subject to the approval of shareholders, it said in the exchange filing.

The company will host its extraordinary general meeting (EGM) on October 21, 2023, Saturday, the company said in a separate exchange filing. The company will consider the resolution of preferential allotment and authorized share capital in its upcoming EGM.

Mufin Green Finance provides financing solutions for the EV ecosystem by providing loans for income generation through electric vehicles, electric charging infrastructure, and swappable batteries. It has disbursed more than Rs 350 crore so far towards electric vehicles, as per its official website.

 

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