Venus Pipes gains as board approves Rs 372 crore preferential issue; Ashish Kacholia among allottees

Venus Pipes & Tubes rose 2.41% to Rs 1,987.05 after the company announced a Rs 372 crore preferential issue, with ace investor Ashish Kacholia among the 18 proposed allottees.

Kacholia has been proposed to be allotted 1,79,640 equity shares at Rs 1,670 per share, involving an investment of Rs 30 crore. The shares will be issued on a preferential basis, subject to shareholder and regulatory approvals. Kacholia will hold approximately 0.78% of the company's post-issue equity, assuming the proposed allotment is completed.

The board approved the issue of up to 22,27,544 equity shares at Rs 1,670 each, aggregating to Rs 371.99 crore. The proposed allottees also include funds managed by WhiteOak Capital, Carnelian, Tata Mutual Fund and Kotak Mahindra Life Insurance Company.

Venus Pipes & Tubes will hold an extraordinary general meeting (EGM) on 8 October 2026 to seek shareholder approval for the preferential issue. The cut-off date for remote e-voting has been fixed at 1 October 2026.

Following the proposed allotment, the company's total equity share capital will increase to 2,29,43,654 shares from 2,07,16,110 shares. Promoter and promoter group holding is expected to decline to 43.71% from 48.41%, while public shareholding will increase to 56.29% from 51.59%.

Venus Pipes and Tubes is a manufacturer and exporter of stainless steel pipes and tubes in India. On a standalone basis, the company's net profit rose 6.66% to Rs 26.41 crore while net sales rose 15.97% to Rs 320.54 crore in Q1 June 2026 ove Q1 June 2025.

Powered by Capital Market - Live News