Diamond Power Infrastructure shares surged 4% to ₹210 in intraday trading on Friday, June 19, following the company's announcement of plans to raise up to ₹2,000 crore through the Qualified Institutional Placement (QIP) route. According to Live Mint, the stock has been enjoying a sustained bull run since April, surging 86% so far, even as the broader markets witnessed sharp swings during the period. The remarkable rally has resulted in the stock recovering all its losses and scaling a fresh record high of ₹219 apiece. The company's shares have delivered a massive 9,314% gain since September 2023, translating from ₹2.22 to the current trading price of around ₹209.
Diamond Power Infrastructure's board has approved a fund raise of up to ₹2,000 crore through the Qualified Institutions Placement (QIP) route, doubling the previously approved limit of ₹1,000 crore. As reported by Live Mint, the proposed issuance of equity shares to Qualified Institutional Buyers (QIBs) may be undertaken in one or more tranches in accordance with applicable laws and regulations. The approved fund-raising limit represents a significant increase from the company's earlier approved limit, with the company noting that it is currently non-compliant with the Minimum Public Shareholding (MPS) requirements under Rule 19(2)(b) and Rule 19A of the Securities Contracts (Regulation) Rules, 1957, read with Regulation 38 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations.
The company's total outstanding order book, as of March 30, 2026, stood at over ₹3,500 crore, providing strong revenue visibility for the coming periods. According to Live Mint, recent order wins, including a ₹45 crore contract from Adani Power and a ₹100.54 crore order from Adani Electricity Mumbai, are expected to significantly enhance the company's revenue visibility and profitability over the execution period. Diamond Power Infrastructure is a leading manufacturer of power cables, including LV, MV, and EHV cables, as well as conductors, used in power generation, electricity transmission and distribution, and industrial applications.
The QIP is specifically intended to help the company achieve compliance with Minimum Public Shareholding (MPS) requirements mandated under the Securities Contracts (Regulation) Rules, 1957 and SEBI's listing regulations. As reported by Live Mint, the board noted that the company is currently non-compliant with the MPS requirements, and the proposed QIP is one of the methods permitted by market regulator SEBI to achieve compliance with MPS norms. The company intends to meet the MPS requirement at the earliest, with the proposed issuance subject to shareholder approval under the relevant provisions of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.
The company's shares have been on a remarkable rally since September 2023, with the stock closing in the green for 12 consecutive months between September 2023 and August 2024, resulting in a phenomenal rally of 6,089%. On a cumulative basis, the stock has delivered a staggering return of 6,839% over the last three years. In terms of annual performance, the stock ended 2023 with a 620% surge, followed by another stellar 860% gain in 2024, while it witnessed mild profit-booking and declined 10.27% in the previous year, followed by a rebound of 51% in the current year so far. The company's shares closed at ₹202.39, down 1.04% on June 18, before the latest surge.
