KRN Heat Exchanger Bounces Back 8% from Session Lows as ₹350 Crore QIP Raising Completes
KRN Heat Exchanger Posts Gains After Successful QIP
KRN Heat Exchanger and Refrigeration Limited, a prominent manufacturer of heat exchangers and related components for the HVAC&R industry, saw its stock recover 6% from its day's low on Tuesday, June 2, after it announced the successful completion of its qualified institutions placement (QIP). The QIP raised nearly ₹350 crore from institutional investors.
The company's stock opened at ₹1,050.70 and later fell 3.6% to its day's low of ₹1,012.50 on the Bombay Stock Exchange (BSE). However, it later recovered around 8% to its day's high of ₹1,092. Despite the recovery, the stock has lost 17% in the last 1 month but has added 18% in 3 months, 33% in 6 months, and 42% in the last 1 year.
QIP Details
The company's Fund-Raising Committee approved the allotment of 33,01,886 equity shares of face value ₹10 each at an issue price of ₹1,060 per share, aggregating to ₹34,999.99 lakh, according to a regulatory filing dated June 1, 2026. The issue price included a premium of ₹1,050 per share and was offered at a discount of 4.85% to the floor price of ₹1,114.05 per share, determined in accordance with SEBI ICDR Regulations. The QIP opened on May 26, 2026, and closed on June 1, 2026.
The QIP attracted participation from several domestic and international institutional investors. A breakdown of the issue size is as follows:
| Prominent Allottee | Number of Shares | Percentage of Issue Size |
|---|---|---|
| VQ Fastercap Fund | 8,49,188 | 25.72% |
| ValueQuest India Inflexion Fund | 4,81,000 | 14.57% |
| Ashoka WhiteOak ICAV – Ashoka WhiteOak India Opportunities Fund | 4,61,981 | 13.99% |
| Abu Dhabi Investment Authority (ADIA) | 2,36,000 | 7.15% |
| WhiteOak Capital's various schemes | 17.57% | |
| Bank of India's fund schemes | 7.14% | |
| Subhkam Ventures I Pvt Ltd | 1,88,681 | 5.71% |
Following the allotment, KRN Heat Exchanger's paid-up equity share capital increased from ₹62,15,66,000 comprising 6,21,56,600 equity shares to ₹65,45,84,860 comprising 6,54,58,486 equity shares. The fundraising marks a significant milestone for the company as it strengthens its capital base with support from marquee institutional investors, including global sovereign wealth funds and leading domestic asset managers.
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
KRN Heat Exchanger and Refrigeration Limited manufactures heat exchangers, evaporators, condensers, and related components for the HVAC&R industry. Founded in 2017 and headquartered in Neemrana, Rajasthan, the company serves OEM customers across India, Asia, Europe, North America, South America, and Oceania.
Investor Takeaway
Investors should be cautious of the stock's recent decline but note its potential for recovery after a successful QIP.
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