IRB Infra locked at 10% lower circuit on equity dilution concerns

Shares of IRB Infrastructure Developers (IRB Infra) were locked at the 10 per cent lower circuit at Rs 266 on the BSE in Wednesday’s intra-day trade after the company’s board approved fund raising of up to Rs 5,347 crore by issuing 252.45 million equity shares through preferential issue on a private placement basis. The issue price for the preferential allotments is Rs 211.79 per share, a 28 per cent discount to Tuesday’s closing price of Rs 294.40 on the BSE.

Till 10:44 am; a combined 13.3 million shares had changed hands at the counter and there were pending sell orders for around 1.2 million shares on the NSE and BSE, the exchanges data showed.