Gujarat-based Rajoo Engineers Limited, a leading global manufacturer of plastic extrusion machinery from India, has raised Rs 160 crore through a qualified institutional placement (QIP) issue, apart from closing in to acquire a machine manufacturer, the financial media reported.
The company, listed on the National Stock Exchange (NSE), said the fund-raising was driven by strong demand from both domestic and global investors.
Morgan Stanley Asia (Singapore), HDFC Bank, Rajasthan Global Securities, Moneywise Financial Services, Credit Access Life Insurance Limited, BNP Paribas Financial Markets – ODI participated in the issue among other, a company statement quoted by the financial media said. ‘Vidhigya Associates, Advocates’ advised lead manager GYR Capital Advisors as the sole legal counsel to the QIP.
“The QIP was executed through the issuance of 1,46,78,900 equity shares at Rs 109 per share (face value Re 1 each). The QIP issue closed on July 21,” it added.
“This successful fundraise of Rs 160 crore marks a significant milestone in our journey. We are committed to leveraging this capital to further scale our operations and create long-term value for our stakeholders,” Rajoo Engineers managing director Khushboo Doshi was quoted as saying.
The company will utilize the net proceeds to pursue inorganic growth through strategic acquisitions aimed at expanding scale, product offerings and market presence.
Acquisition move
The move coincides with news of Rajoo singing a non-binding indicative offer to acquire a company engaged in the manufacturing of machines providing to various industries, an exchange filing quoted by news agency PTI said.
The said company, with a legacy spanning over three decades, enjoys a strong brand reputation and has established a notable presence in both domestic and international markets, Rajoo Engineers said in the filing without disclosing financial details.
“The combined capabilities of both companies will not only enhance product offerings but also significantly expand the footprint in India and global markets,” the company said.
Based in Rajkot, Rajoo Engineers, from its modest beginning in 1986, is now a global player in blown film and sheet extrusion lines. Its specialties include blown film, sheet extrusion lines, and thermoformers.
