The non-bank lender on Monday said the company's rights issue offer will open on February 1 and will close on February 15. The company has fixed a price of Rs 65 per equity share for the offer and an entitlement ratio at 17:74 (17 equity shares for every 74 shares held in the company.
The board of directors of the company at their meetings held on November 4, 2020, had already approved the offer and issuance of fully paid-up equity shares of the company for an amount not exceeding Rs 3,000 crore by way of a rights issue to the eligible equity shareholders of the Company as on the record date.
As on December 31, 2020, Larsen & Toubro (L&T), the promoter held 63.65 per cent stake in L&T Finance Holdings. Institutional investors held 14.63 per cent holding, followed by individual shareholders (13.68 per cent) and foreign companies (4.77 per cent). Bc Asia Growth Investments and Bc Investments Vi were holding 3.18 per cent and 1.59 per cent stake, respectively, the shareholding pattern data shows.
According to Motilal Oswal Financial Services, the key retail businesses of L&T Finance Holdings have witnessed improving trends month-on-month in both disbursements as well as collections/moratorium. "The company has been consolidating its loan book over the past few quarters - it is expected to remain so for the next 2-3 quarters," the brokerage firm said in September quarter results update.
Margins should see some benefit as the company reduces excess liquidity on the balance sheet. The AMC business has done well over the past three years and it believe this business would continue to grow at a faster pace than the lending segments in the medium term, the brokerage added.
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