Angel One is planning to raise up to ₹2,000 crore capital through a preferential issue, further public offer (FPO), qualified institutions placement (QIP) or other modes, said the company in a BSE filing on Thursday.
The plan to raise funds via different modes was approved at a meeting of the board of directors held earlier in the day. The company will now seek approval from the shareholders for the proposed fundraise.
The raised funds will be used by the company to augment and build financial flexibility and to ensure a smoother expansion of its broking business. The proposed amount will also enable the company to harness emerging opportunities across the inorganic universe within the fintech space.
Apart from the plan to raise funds, the board also approved an increase in the authorised share capital of the company from ₹100 crore to ₹120 crore.
Angel One’s share price closed 0.5 per cent lower at ₹3,072.35 per share on BSE on Thursday. In January, the brokerage house reported a 14 per cent annual rise in its net profit at ₹260.3 crore for three months ended December 2023. Angel One had posted a net profit of ₹228 crore in the year-ago period. Despite a rise in its net profit on an annual basis, the company’s profit dropped by 14.5 per cent on a sequential basis.
The company’s revenue from operations jumped by 41.5% to ₹1,059 crore in the third quarter ended December 31, 2023, from ₹748.6 crore a year ago.
