Orient Green Power Announces Revised Rights Issue of up to Rs 25,000 Lakhs

The Board of Directors of Orient Green Power has announced the revision of its rights issue, with the size of the issue fixed at up to Rs 25,000 lakhs. This decision was made during a board meeting held on February 2, 2024. Previously, in December 2023, the board had approved a rights issue with a maximum amount of Rs 30,000 lakhs.

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A rights issue is a process adopted by financially strained companies to offer existing shareholders the opportunity to purchase additional shares at a discounted price.

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Orient Green Power shares are currently trading at Rs 29.93 on the BSE. Over the past six months, the stock price has witnessed a staggering growth of 110%. Furthermore, in the past three years, it has experienced a remarkable increase of 1141%.

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The small cap company, with a turnover of Rs 18.82 crore, boasts a market cap of Rs 2,935.31 crore. The face value of Orient Green Power shares is Rs 10. However, the company has yet to release its Q3 results for the financial year ending December 31, 2023. In the preceding quarter of FY 2024, it reported a decline in net profit amounting to Rs 2.91 crore.

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Orient Green Power’s revised rights issue represents a strategic move to raise capital and enhance the company’s financial position. The decision made by the Rights Issue Committee during their recent meeting further solidifies the company’s commitment to its existing shareholders.