HEG Ltd Share Price Sees Increase Amid Fundraising Announcement

Market Performance

HEG Ltd's share price experienced an increase of 5% during morning trading on Tuesday following an update regarding its fundraising plans. The stock opened at ₹408.00 on the National Stock Exchange (NSE), reflecting a rise of over 5% from its previous closing price of ₹387.80. The stock reached an intraday high of ₹416 throughout the trading session, marking an approximate gain of 4.5%, despite the broader market experiencing downward pressure. The Nifty-50 index declined by 0.5% due to weak global market cues.

Fundraising Update

On March 10, 2025, HEG Ltd's Board of Directors convened a meeting to discuss a fundraising initiative for Bhilwara Energy Ltd (BEL). Following the meeting, the company announced that Singularity Growth Opportunities Fund would invest ₹250 crore in Bhilwara Energy Ltd, with an option to invest an additional ₹250 crore in the future.

A share subscription and shareholders' agreement was executed between HEG Ltd, Singularity Growth Opportunities Fund II, Bhilwara Energy Ltd, and existing shareholders of BEL. As per the agreement, Bhilwara Energy Ltd will issue and allot 1,75,95,979 equity shares, each with a face value of ₹10. After the issuance, investors will hold 9.6% of Bhilwara Energy Ltd's paid-up share capital.

Company Details

HEG Ltd currently holds a 49.01% stake in Bhilwara Energy Ltd. Upon completing this investment transaction, its shareholding in BEL will be adjusted to 44.30%. Additionally, Singularity Growth Opportunities Fund retains the option to increase its investment in BEL by another ₹250 crore, further impacting the ownership structure.

Summary

HEG Ltd's share price moved upward following the announcement of Bhilwara Energy Ltd's fundraising plan, which involves an investment by Singularity Growth Opportunities Fund. The transaction will change BEL's shareholding structure, with HEG Ltd's stake decreasing while Singularity's investment provides additional financial backing. Despite a declining market trend, HEG Ltd's stock responded positively to this corporate development.