## PC Jeweller Announces Plans to Raise Rs 2,000 Crore Through Rights Issue and Preferential Allotment
PC Jeweller has announced plans to raise Rs 2,000 crore through a combination of rights issue and preferential allotment of fully convertible warrants. This move is aimed at strengthening the company's financial position and addressing its debt obligations.
The board of directors approved the proposal during a meeting held on Tuesday. The company plans to raise Rs 1,500 crore through a rights issue of equity shares of Rs 10 each to eligible equity shareholders. The record date for the rights issue will be announced later.
Additionally, the board approved raising up to Rs 500 crore through a preferential allotment of fully convertible warrants. The proceeds from this allotment will be used to pay off the company's financial liabilities, subject to the approval of the consortium of lenders.
PC Jeweller's accounts have been classified as non-performing assets (NPA) with its lenders since June 2021. Lenders, including the State Bank of India, have initiated legal proceedings for recovery of dues.
As of December 2023, the company had 55 owned and seven franchise stores. Three stores located in Delhi remain temporarily shut due to ongoing court proceedings.