Karan Johar reveals the reason for selling 50% stake in Dharma Productions
Dharma Productions owner Karan Johar reveals the reason for selling a 50% stake in the banner to Adar Poonawalla of Serum Institute.
Share price of Magma Fincorp soared nearly 10 per cent in Thursday’s intra-day trade on Thursday after the company announced that Poonawalla Group will acquire a 60 per cent stake in the non-banking finance firm.
The stock of Magma Fincorp hit a fresh 52-week high on Thursday as the scrip on the BSE soared to Rs 93.40, up by 9.95 per cent.
Similarly, on the NSE, it gained 9.99 per cent to Rs 93.55.
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The Poonawalla Group is acquiring a controlling 60 per cent stake in non-banking finance firm Magma Fincorp by subscribing to a Rs 3,456-crore preferential issue, the Pune-based company, better known for the Serum Institute, said on Wednesday.
The company, which has a fledgling NBFC arm called Poonawalla Finance which lends mostly to professionals, said the acquisition will be done through a group company called Rising Sun Holdings.
Post the infusion of capital, Magma Fincorp and its subsidiaries will be renamed and rebranded Poonawalla Finance.
The transaction, subject to shareholders and regulatory nods and through a preferential issue of equity shares of Magma Fincorp worth Rs 3,456 crore, will result in Rising Sun taking over the company with 60 per cent stake and an open offer under applicable Sebi guidelines, the statement said.
Substantial infusion of capital and strong corporate baking is likely to have a positive impact on Magma Fincorp’s credit rating. It will also help the firm to further invest in Housing Finance subsidiary and General Insurance joint venture, as required, the company said.
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