Following IRDAI's clearance to join the insurance business, Capri Global shares increase by 2%

 Following IRDAI's clearance to join the insurance business, Capri Global shares increase by 2%

Over the last six months, the company's stock has gained a meager 2 percent on the markets, showing a generally subdued performance.

Capri Global funds successfully secured funds via a rights offering in March of this year, raising over Rs 1,440 crore.

Following the announcement by the firm that it has obtained a corporate agency license from the Insurance Regulatory and Development Authority of India to begin insurance operations, shares of Capri Global Capital Ltd were trading 2% higher at Rs 778 in morning session on December 12.

Capri is projected to produce around Rs 20 crore in net insurance income for FY 2024–2025, the business said on December 11 in an exchange filing. The firm said that it would put in between Rs. 2 and Rs. 3 crore into the new venture annually. ,

Over the last six months, the company's stock has gained a meager 2 percent on the markets, showing a generally subdued performance. The company's market capitalization is estimated by Moneycontrol to be approximately Rs 16,000 crore.

The counter on the NSE was up 1.7% from its previous close at 10:41 am, trading at Rs 777. As the stock reached an intraday high of Rs 798, it pared gains.

The managing director of the business, Rajesh Sharma, was quoted by CNBC TV-18 last month when he said that the financial services provider plans to grow its assets under management (AUM) across a number of industries.

Aside from its gold loan portfolio, Capri Global Capital is focusing on the auto loan industry, which is categorized as fee revenue for the business rather than a balance sheet item.

Through a rights offering in March of this year, Capri Global Capital was able to successfully raise around Rs 1,440 crore in capital. According to management, the firm has enough cash on hand and has no imminent intentions to seek further money. "We don't have any intentions to seek funds since we already have enough capital accessible. According to a report from CNBC TV-18 last month, The organization does not require additional capital for the next 12 months."