Samvardhana Motherson launches QIP to raise funds; check details 

The floor price of the QIP has been fixed at ₹188.85, which is a 2.6% discount to Monday's closing price. 

Shares of the company last seen were trading 0.54% lower at ₹192.70 apiece on the BSE.

QIP is one of the ways by which listed companies raise capital by issuing equities or other equity convertible securities to qualified institutional buyers. Capital market regulator Securities and Exchange Board of India (SEBI) introduced Qualified Institutional Placement (QIP) on May 8, 2006, to help Indian companies raise capital from domestic markets. The goal was to reduce the companies' dependence on foreign funding sources.

Qualified institutional buyers, or QIBs, are big, experienced investors with the in-depth knowledge and resources to make wise investment decisions. Some examples of QIBs include mutual funds, banks, pension funds, and insurance companies, among others.

Besides this, the auto components major on Monday said it will acquire an 11% stake in Israel's REE Automotive Ltd. for up to $15 million.

At a price of $4.122 per share, translating to 11% shareholding in REE Automotive Ltd. on a fully diluted basis, the company said in a regulatory filing.

REE is an automotive technology company engaged in the design, development, and integration of various vehicle components into a module and complete modular platform specifically for commercial electric vehicles, it added.

Samvardhana Motherson Q1 FY25

The company reported a 69.3% jump in consolidated net profit at ₹1,097.18 crore in the first quarter ended June 30, 2024, driven by strong revenue growth. It had posted a profit of ₹648.12 crore in the same quarter last fiscal. 

Total revenue from operations in the quarter under review stood at ₹28,867.96 crore as compared to ₹22,462.18 crore in the year-ago period, it added. Total expenses in the first quarter were higher at ₹27,601.7 crore as compared to ₹21,629.09 crore in the same period a year ago, Samvardhana Motherson said.