Smallcap stock under ₹50: Vakrangee share price jumps over 11% on fundraising proposal, tie-up with Star Health

Vakrangee share price jumped over 11% on Wednesday after the company announced a fundraising proposal and a strategic corporate agency tie-up with Star Health & Allied Insurance Company. Vakrangee shares gained as much as 11.79% to a high of ₹23.45 apiece on the BSE.

Vakrangee has partnered with Star Health Insurance to provide easy access to comprehensive health insurance products through the Vakrangee Kendra network across the country.

“Through this collaboration, Vakrangee will offer a wide range of health insurance products from Star Health to its customers, ensuring enhanced penetration of health insurance services in remote and underserved regions of the Country,” Vakrangee said in a BSE filing on Tuesday.

The key highlights of this partnership are that Star Health’s insurance products will now be available across Vakrangee’s 21,900+ Kendras, covering urban, semi-urban, and rural areas. Customers will be able to choose from a broad range of health insurance policies, including family floater plans, individual health policies, and critical illness coverage, it added.

Fundraising

In a separate stock exchange filing, Vakrangee said that the meeting of its Board of Directors will be held on Tuesday, September 24, to consider the proposal for raising of funds.

The fund will be raised by way of rights issue, warrants, preferential issue including a qualified institutions placement or through any other permissible mode and/or combination thereof as may be considered appropriate, by way of issue of equity shares or any other eligible securities, subject to all such regulatory/ statutory approvals.

Vakrangee share price is up 10% in one month and more than 22% year-to-date (YTD). The stock has gained more than 33% in one year, while it has fallen over 44% in three years.

At 10:20 am, Vakrangee shares were trading 11.08% higher at ₹23.26 apiece on the BSE.