Hindustan Copper raises Rs. 500 Crore via QIP issue
Hindustan Copper Ltd is a Government-owned corporation in the Central Public Sector Enterprise under the Ministry of Mines (India), Government of India.
However, HCL shares are listing at Mumbai, Delhi, Kolkata, Chennai, Ahmedabad exchanges. On 31st July 2015, the government of India announced a 15% stake sale in Hindustan Copper Limited reducing its stake from 89.5% to 74.5%.
While Hindustan Copper on Monday closed its qualified institutional placement issue and approved the issue price of Rs. 119.60 per equity share for the issue. The Board of Hindustan Copper at its meeting held on 12th April 2021 has approved. The closure of the QIP issue on Monday, 12th April 2021, the issue had opened on 7th April 2021.
Moreover, State-owned Hindustan Copper (HCL) on Thursday said it has raised Rs. 500 crore through issuance of shares to institutional investors. The qualified institution placement (QIP) of Rs. 500 crore has been fully subscribing, the PSU said in a statement.
The funds from the QIP propose to fund the ongoing CAPEX/expansion plan of the company. While the QIP of HCL closed on April 12th with wide participation from diverse investors. Including mutual funds, insurance companies, banks, and foreign institutional investors. While launched on April 7th, this is the first time issuance of a central public sector enterprise to raise funds by issue of shares via QIP.
On the other side, HCL, a CPSE under the Ministry of Mines, is the only operating copper ore-producing mining company in India. And also the only vertically integrated producer of primary refined copper in the country. HCL plans to expand its current ore production levels from 3.97 million tonnes per annum to 12.2 MTPA in phase-I (under implementation) through expansion of existing mines, reopening of closed mines, and opening of new mines.