Paramount Cables shares hit upper circuit as board mulls fundraising

Shares of Paramount Communications Ltd (Paramount Cables) hit their upper price band on Thursday as the company mulls fundraising. The company board is likely to meet on Monday to consider the proposal, it said in the exchange filing with the bourses.

A meeting of the board of directors of Paramount Communications is scheduled to be held on December 18, 2023 (Monday) to inter alia consider proposal for raising of funds through the issuance of securities, subject to such regulatory/ statutory approvals as may be required, said the company in the exchange filing.

The board would also consider convening an extraordinary general meeting/ postal ballot process to seek approval of the shareholders in respect of the aforesaid proposal of fundraising, as required, the filing added further.

Following the announcement, shares of Paramount Communications hit an upper circuit of 5 per cent to Rs 82.69, commanding a total market capitalization of more than Rs 2,025 crore. The scrip had settled at Rs 78.76 in the previous trading session on Wednesday.

The stock has surged about 240 per cent from its 52-week low at Rs 24.45 hit a year ago. The stock has rallied 26 per cent in the last one month. The stock has rallied 130 per cent in the last six-month period, while it is up 525 per cent in the last five years.

Paramount Communications is engaged in manufacturing of Wires and Cables comprising power cables, telecom cables, railway cables and specialized cables. It has widened its portfolio, building on a prestigious clientèle that includes government, institutional and major private sectors.

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