Quess Corp stock rallies 10% after Amazon invests Rs50.99cr in company

The company's board approved the issue of 7.54 lakh equity shares of face value Rs10 of Quess Corp by way of a preferential issue to Amazon.com NV Investment Holdings LLC for Rs50.99cr at an issue price of Rs676 per share.

Jul 12, 2019 06:07 IST India Infoline News Service

Quess Corp
Shares of Quess Corp extended rally in afternoon trade on Friday after the company’s board announced that it has approved the allotment of the company's preferential equity shares to Amazon.com NV Investment Holdings LLC for Rs50.99cr.

The company's board approved the issue of 7.54 lakh equity shares of face value Rs10 of Quess Corp by way of a preferential issue to Amazon.com NV Investment Holdings LLC for Rs50.99cr at an issue price of Rs676 per share. Amazon.com NV is a Category III Foreign Portfolio Investor. The allotment is subject to regulatory and shareholders’ approval, the firm said in the filing.

The proposed investment is as per the Investment Agreement between Amazon.com NV and Qdigi Services Limited, a wholly-owned subsidiary Quess Corp and the proceeds will be invested in the business of the subsidiary. Qdigi engages in after-sales services of consumer products including mobile phones and electronics for brands like Xiaomi and OnePlus. The company has more than 80 centres and 200 authorised service providers across India.

Quess Corp Ltd is currently trading at Rs483.35, up by Rs43.2 or 9.81% from its previous closing of Rs440.15 on the BSE. The scrip opened at Rs445 and has touched a high and low of Rs487.80 and Rs442.80 respectively.

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