Indiabulls Ventures to raise Rs 588 cr via preferential allotments of shares

The board of Indiabulls Ventures, a group company of Indiabulls Housing Finance, approved raising Rs 588 crore via preferential allotments of shares from half a dozen global investors, including San Francisco-based Ribbit, and US-based NWI Emerging Market Fixed Income Master Fund and Inteligo Bank.
The move could help lift investor sentiment about the company, which ran into a liquidity crisis. NBFCs and home financiers have been facing a cash crunch that hit last-mile-lenders badly the past two years.

Indiabulls Ventures shares surged 7.5 percent to close at Rs 215 Friday on BSE.

The other investors included US-based First Royalty Ventures LLC, TIMF Holdings and Think India Opportunities, Indiabulls Ventures said in a statement.

The board held its meeting on Friday to approve the preferential issue of up to 33.6 million equity shares at face value of Rs 2 each.

This will comprise 5.5 percent of the post preferential issue share capital of the company at an issue price of Rs 175 per share to those foreign investors.

Sameer Gehlaut, former executive chairman of Indiabulls Housing Finance, has been appointed as the Chairman and CEO of the company.

Credit: Stocks-Markets-Economic Times

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