M&M Finance raises Rs 426 cr via QIP
The firm earlier this month planned to raise Rs 570 crore at a floor price of Rs 672.75 each.
Mahindra & Mahindra Financial Services said on Tuesday it has raised Rs 426 crore through a qualified institutional placement of 6.1 million shares at Rs 695 each.
The firm, which received bids of more than Rs 1,575 crore, said the issue was oversubscribed four times with strong participation from international institutional investors.
The firm had said earlier this month it planned to raise Rs 570 crore at a floor price of Rs 672.75 each.
The funds raised will be used to augment its long-term resources by enhancing the Tier-I capital base, leverage available business opportunities and provide funding for loans to the company's customers, it said in a statement.
Post the issue, the parent company Mahindra & Mahindra Ltd will hold 56 percent of total equity, it said.
Kotak Mahindra Capital Company, Citigroup and JM Financial acted as the book-running lead managers for this issue.