Max Healthcare raises 1,200 crore through Qualified Institutional Placement (QIP)

Max Healthcare Institute Ltd (MHC) on Wednesday said it has raised Rs 1,200 crore via issue of securities. The company, which is the country’s second largest private hospital chain, has raised the capital through qualified institutional placement (QIP). The QIP opened on March 4, 2021, and closed on March 9, 2021. The company said in a statement that the healthcare major has accordingly issued 6,14,12,482 fresh equity shares of face value of Rs 10 per share at a price of Rs 195.40 per share, Post the QIP, the issued and subscribed equity share capital of MHC stands at 96,59,45,006 equity shares. 

MHC proposes to utilise the net proceeds for meeting the capital expenditure and working capital requirements, including expansion of capacity, increasing stake in existing/future subsidiaries etc. The company may also use part of the proceeds for repayment of debt and for general corporate requirements or any other purposes as maybe permissible.  Thus after this issue, the public shareholding of MHC stands at 29.54 per cent. However, this includes 4.82 per cent which is not currently considered for compliance towards the minimum public shareholding threshold under Sebi regulations for listed companies.

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