Tech Gets a Capital Lift—GVP Infotech Rolls Out Rights Issue Worth ₹211.7M

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GVP Infotech Ltd (NSE: GVPI.NS) has sanctioned a rights issue of equity shares aggregating ₹211.7 million, which represents a strategic move for consolidation of its capital structure as well as for financing future growth initiatives. The issue will be offered on a rights basis to enable existing shareholders to subscribe in proportion to their current shareholding.

1. Rights Issue Details

The board approved the issue of equity shares aggregating ₹211.7 million, subject to regulatory permissions and shareholders' approval.
Record date, issue price, and rights entitlement ratio will be notified in due course.
The proceeds will be used for meeting working capital requirements, technology upgradation, and general corporate purposes.

2. Strategic Context

GVP Infotech, operating in the IT services and consulting sector, aims to expand business and offer more services with this capital infusion.
The rights issue is part of a broader strategy to strengthen the balance sheet and boost liquidity in the wake of fluctuating market forces.

Sources: Value Broking, Moneycontrol, Mint