The shares of Arvind Fashions on Monday surged almost 13.5 per cent and touched a new 52-week high on the BSE intraday trade, as the company announced fundraising from marquee investors. 

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Arvind Fashions in it's filing to exchanges said, “The Board of Directors of Arvind Fashions Limited (AFL) at its meeting held on Saturday (August 21, 2021) has approved the preferential allotment of equity shares aggregating to Rs. 439 crores to various marquee investors including promoters at the price of Rs. 218.50 per share.” 

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The marquee investors, who participated in the fundraise are Akash Bhanshali, existing shareholders, including ICICI Prudential Mutual Fund, various foreign institutional investors, Ashish Dhawan and other investors, the company further said in its filing It added that Aura Merchandise Pvt. Ltd., a Promoter entity has also participated in the preferential issue for an amount of Rs 40 crores. 

It added, “With this fundraise, it completes the capital requirement needed for growth and navigating any uncertainties. The company is unlikely to require any more funding in near to medium term with focused strategy of profitable growth.” 

The completion of the transaction is subject to necessary shareholder and SEBI approvals. Similarly, Metta Capital acted as the exclusive financial advisor to AFL for this transaction. 

The stock, in the last eight trading sessions of the country’s leading casual and denim player has rallied 33 per cent on the BSE. 

At around 02:30 pm, Arvind Fashions was trading over 11 per cent higher at Rs 267.60 on the BSE, as compared to a 0.53 per cent rise in the S&P BSE Sensex. A combined 1.6 million equity shares have changed hands on the counter on the NSE and BSE so far. 

Arvind Fashions Ltd is India's leading casual and denim player, a lifestyle powerhouse with a strong portfolio of fashion brands catering to consumers across sub-categories and price points.