J&K Bank Shares Jump Over 11% On Rs 750 Crore QIP
The company has approved the floor price of Rs 112.66 per share, an exchange filing said.
Shares of Jammu & Kashmir Bank Ltd. jumped to hit lifetime high on Tuesday, after launching its qualified institutional placement.
The lender's board had approved a fund raise of Rs 750 crore via QIP on July 15. The company has approved the floor price of Rs 112.66 per share, an exchange filing said.
A meeting of the Capital Issuance Committee will be held on Dec. 14 to consider and approve the issue price for the equity shares to be allotted to qualified institutional buyers, pursuant to the issue, another filing said.
The issue price might include a discount, if any thereto, as permitted under Securities and Exchange Board of India regulations, it said.
Shares of the lender rose as much as 11.82%, before paring gains to trade 9% higher at 10:39 a.m., compared to a 0.05% advance in the NSE Nifty 50.
The stock ended 9.73% higher at Rs 125.20 per share on Monday. It has risen 139.86% year-to-date. Total traded volume so far in the day stood at 15 times its 30-day average. The relative strength index was at 81.46, indicating that the stock may be overbought.
The one analyst tracking the company has a 'buy' rating, according to Bloomberg data. The average 12-month analysts' consensus price target implies a downside of 3.26%.
