HFCL has also applied for the production linked incentive scheme for telecom networking equipment
Homegrown telecom gear maker HFCL announced that it will raise up to Rs 750 crore through equity, bonds, debentures or any other securities, for which it has received its board’s consent. The company has already received the go-ahead of shareholders and relevant authorities.
“The Board of the directors of the company has, at its meeting held today, inter-alia, considered and approved…fundraising up to Rs 750 crore, by way of private placement or preferential issue of public issue or rights issue or qualified institutional placement or through any other permissible mode,” the company said in a stock exchange filing.
HFCL has also applied for the production linked incentive scheme for telecom networking equipment, where the government is offering up to 20 times higher incentives based on investment and incremental production criteria.
HFCL is engaged in the manufacturing of high-end transmission and access equipment, optical fibre, and optical fibre cables (OFC). The company is specialised in setting up modern communication networks for telecom service providers, railways, defence, smart city and surveillance projects.
It has also commissioned a dedicated 5G research and development centre at Bengaluru.
The company had posted over a threefold jump in its consolidated profit after tax to Rs 90.69 crore for the first quarter ended June 30, 2021.
The company had posted a profit after tax of Rs 21.34 crore in the corresponding period in 2020.