Parag Milk Foods share price jumps 9% after ₹161 crore fundraise move via preferential issue of convertible warrants

Parag Milk Foods share price jumped over 9% on Thursday after the company announced raising funds worth ₹161 crore by way of preferential issue of convertible warrants. Parag Milk Foods shares rallied as much as 9.56% to ₹185.00 apiece on the BSE.

The Board of Directors of Parag Milk Foods, at its meeting held on April 3, approved raising of funds to the tune of ₹161 crore by way of preferential issue of convertible warrant in order to optimise debt and/or meet Company’s working capital / capital expenditure requirements.

Accordingly, the company’s Board approved the preferential issue of 90,00,000 Convertible Warrants to the proposed allottees, convertible into 90,00,000 equity shares of face value of ₹10 each fully paid up at a price of ₹179.10 (including premium of ₹169.10) per share warrant, Parag Milk Foods said in a regulatory filing on April 3.

The board also approved the convening of an extraordinary general meeting of the Company on Saturday, May 3, 2025 through video conferencing or other audio visual means to seek necessary approval of shareholders of the Company, for the preferential issue.

Parag Milk Foods Stock Price Performance

Parag Milk Foods share price has gained over 28% in one month, but the stock is down 3.5% on a year-to-date (YTD) basis. The small-cap stock has declined 15% in one year.

However, Parag Milk Foods stock price has delivered multibagger returns in the long term. The small-cap stock has jumped 135% in two years and has delivered 180% returns in five years.

At 10:50 AM, Parag Milk Foods shares were trading 8.41% higher at ₹183.05 apiece on the BSE.

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