The steep equity dilution has upset investors, but the deal will halve the standalone company’s debt and bring two well-known infrastructure players on board
Representative image
One would have expected a big sigh of relief among investors after IRB Infrastructure Developers Ltd announced its mega fundraiser proposal on Tuesday. Tapping two large overseas investors to garner Rs5,350 crore will alleviate its balance sheet strain, which is a key positive for any infrastructure company. But investors hammered the stock that was locked in lower circuit, closing 10 per cent lower than Tuesday’s price, in spite of decent September quarter results announced along with the deal. To be…