Amazon to invest Rs. 51 crore in Quess Corp

Quess Corp's board approved the allotment of the company's preferential equity shares to Amazon.com NV Investment Holdings LLC for Rs. 50.99 crore. Reacting to the development, the stock was buzzing and move up more than 8 per cent on Friday.

The company's Board of Directors on Friday approved the issue of 7,54,437 equity shares of face value Rs. 10 of Quess Corp by way of a preferential issue to Amazon.com NV Investment Holdings LLC for Rs. 50.99 crore at an issue price of Rs. 676 per share. Amazon.com NV is a Category III Foreign Portfolio Investor. The allotment is subject to regulatory and shareholders approval.

The proposed investment is as per the Investment Agreement between Amazon.com NV and Qdigi Services Limited, a wholly-owned subsidiary Quess Corp and the proceeds will be invested in the business of the subsidiary. Qdigi engages in after-sales services of consumer products including mobile phones and electronics for brands like Xiaomi and OnePlus. The company has more than 80 centres and 200 authorised service providers across India.

On Friday, the stock of Quess Corp was trading at Rs. 468.30 per share, up by Rs. 28.15 or 6.40 per cent at 11:36 hours. It hit an intraday high of Rs. 479.75 per share, up by 8.99 per cent on BSE.