Zen Technologies Ltd, a Defence simulation training equipment and counter-drone solutions company, has raised ₹1,000 crore through Qualified Institutional Placement (QIP). Key investors participating in this QIP include Kotak Mutual Fund, White Oak Offshore Fund, White Oak Mutual Fund, Motilal Oswal Mutual Fund, and Bandhan Mutual Fund.
The QIP, launched on August 21 and closed on August 23, 2024, saw “significant interest from both domestic and international investors”, according to a company statement on Saturday.
“The QIP was oversubscribed by ∼5 times,” it said.
The Hyderabad-based company allocated 62.46 lakh equity shares, with a face value of ₹1 each, to qualified institutional buyers (QIBs) at an issue price of ₹1,601 a share.
“This pricing represents a discount of about 5% to the QIP floor price of ₹1,685.18 per share, as determined by SEBI regulations,” it said.
The company said the proceeds would be used to fund growth plans, which include exploring inorganic growth opportunities and funding the company’s working capital requirements in the coming years.
“This capital infusion aligns with the company’s long-term vision to penetrate adjacent markets (Naval and Air Force), to continue deep research and development in the field of counter-drone solutions and expand its footprint in the global defence market,” it said.
“We are now well-positioned to pursue strategic acquisitions and partnerships that will accelerate our market expansion and enhance our capabilities in defence simulation training and counter-drone technologies. Additionally, the raised capital will fortify our working capital requirements and ensure to maintain robust growth momentum,” Ashok Atluri, Chairman and Managing Director, said.
The 31-year-old company has over 75 patents.