HFCL Limited has successfully completed its Qualified Institutional Placement (QIP), marking a significant capital raising milestone in the telecom equipment sector. The company's Fund Raising Committee approved the allotment of equity shares to 14 eligible qualified institutional buyers at a competitive pricing strategy.

QIP Allotment Details

The QIP involved the issuance and allotment of 8,79,29,651 equity shares of face value ₹1 each to qualified institutional buyers. The issue opened on December 22, 2025, and closed on December 24, 2025, with the Fund Raising Committee meeting held on December 24, 2025, approving the final allotment.

Fundraising Achievement

HFCL successfully raised approximately ₹550 crores through this QIP exercise. The pricing strategy offered a 5% discount to the floor price of ₹65.84, making it attractive for institutional participation while ensuring successful subscription.

Major Allottees

Several institutional investors received significant allocations in the QIP, with six allottees receiving more than 5% of the total equity shares offered:

Regulatory Compliance

The QIP was conducted in accordance with the provisions of the SEBI ICDR Regulations and Section 42 and 62 of the Companies Act, 2013. The company has disclosed all required information under Regulation 30 of SEBI Listing Regulations and will submit the shareholding pattern before and after the issue along with the listing application.

Market Impact

The successful completion of this QIP demonstrates strong institutional confidence in HFCL's business prospects within the telecom equipment and infrastructure services sector. The participation of 14 qualified institutional buyers reflects positive market sentiment and provides the company with substantial capital resources for business expansion and operational requirements.

HFCL Limited has received board approval for the launch of its planned Qualified Institutional Placement (QIP), with the company setting a floor price of ₹65.84 per share for the offering.

QIP Details and Pricing

The telecom equipment manufacturer has established the key parameters for its institutional fundraising initiative:

Strategic Capital Raising Initiative

The QIP approval represents a significant milestone in HFCL's capital raising strategy. Qualified Institutional Placements allow companies to raise funds from institutional investors without the extensive regulatory requirements of a public offering, providing a streamlined approach to accessing capital markets.

The floor price of ₹65.84 per share establishes the minimum price at which shares will be offered to qualified institutional buyers, including mutual funds, insurance companies, foreign institutional investors, and other eligible institutional participants.

Market Implications

This corporate action demonstrates HFCL's proactive approach to strengthening its financial position and funding growth opportunities. The QIP mechanism enables the company to access institutional capital while maintaining operational flexibility and reducing the time-to-market for fundraising activities.

The approval of the QIP launch positions HFCL to execute its capital raising plans and potentially support future business expansion initiatives in the telecom equipment and infrastructure services sector.