Intraday Spotlight: 7NR Retail gains over 5 per cent as board decides to raise funds

The board has also approved a stock split.

While Sensex and Nifty are hovering in the red territory, 7NR Retail has gained over 5 per cent today. The stock opened at a price of Rs 17.55 and is currently trading at Rs 18.50, up by 5.4 per cent as of 3:00 pm on the BSE. 

The board of directors have announced certain corporate actions that might have caused the bullish trend in the stock. It has approved equity share split from the face value of Rs 10 to Rs 1 each subject to the approval of the members of the company and the record date will be announced in due course. The board has also decided to raise Rs 5 crore through the issue of equity through preferential allotment to non-promoters. Now, it might not appear as a big amount but we are talking about a company that has a market cap of Rs 19.22 crore, thus making it a relatively significant amount. 

Also, this smallcap stock has been a multibagger in the past six months as it has awarded shareholders with a return of over 116 per cent.