Rights Issue: After Rs 10/Share Dividend, Agro Chemicals Co To Raise Rs 4,200 Cr

Large cap company operating in Pesticides/Agro Chemicals sector UPL Limited is all set to raise Rs 4,200 crore via rights issue, according to its BSE filing. Last trading price of UPL Limited share on BSE is Rs 581.70 per share with intraday gain of 0.66%. The company has a market capitalisation of Rs 44,444.52 crore. UPL Limited shares declined 4.79% in last 1-week and gained 2.79% in last 1-month. Check details below:

UPL Limited To Raise Rs 4,200 Crore Via Rights Issue: According to the BSE filing of the company dated December 22, 2023, "we wish to inform you that the Board of Directors of the Company (the "Board") at its meeting held today, i.e., on Friday, 22nd December, 2023, inter alia, approved the proposal for fund raising for an amount aggregating upto Rs 4,200 crores subject to receipt of statutory / regulatory approvals, as may be required under applicable law, by way of issue of equity shares on rights issue basis to the eligible equity shareholders of the Company as on the record date (to be determined and notified subsequently), in accordance with the applicable laws including the Securities and Exchange Board of India (Issue of Capital and Disclosures Requirements) Regulations, 2018 as amended from time to time."

For the purposes of giving effect to the rights issue, the detailed terms to the rights issue including but not limited to the issue price, rights entitlement ratio, record date, timing and terms of payment will be determined in due course by the Board or duly constituted committee of the Board, in accordance with applicable laws, subject to receipt of necessary approvals, as may be required, added the BSE filing.

UPL Limited Stock Performance & Return: The stock's 52-week high price is Rs 780.00 per share and 52-week low price is Rs 528.35 per share, respectively. UPL Limited shares fell 22% in last 2-years, gained 31% in last 3-years, and rose 18% in last 5-years. In last 10-years, UPL Limited stock gained over 369%.

UPL Dividend: Earlier this year UPL Limited declared the final dividend of Rs 10 per share with record date fixed as August 3, 2023. As per the BSE filing, "The shareholders approved a final dividend @ 500% on equity shares of Rs 2/-each of the Company [I.e. Rs. 10/- per equity share) at the Annual General Meeting held on 18th August 2023 and the same was paid on 21st August 2023."

UPL Limited Financials: The company on October 30 declared a net loss of Rs 189 crore for the July to September quarter as against Rs 996 crore declared in the corresponding quarter of the year ago period. Meanwhile, the company declared its revenue at Rs 10,170 crore, down 18.70% from Rs 12,507 crore registered in the similar quarter of last year. The company reported sluggish performance as a result of muted global demand as inventory destocking continued.

UPL Limited About: UPL Limited is a renowned global generic crop protection chemicals and seeds company. The large cap company came into existence in 1985. It is engaged in the business of agrochemicals industrial chemicals and chemical intermediates. They operate in three segments: agro chemical industrial chemicals and others. The agro chemicals segment consists of agrochemicals technicals and formulations. The industrial chemicals segment consists of industrial chemicals and speciality chemicals.

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