Multibagger auto stock: Pavna Industries share price touched 20% upper circuit limit during Thursday’s trading session following the company’s announcement of plans to raise up to ₹320 crores by issuing equity shares to qualified institutional buyers.

“Approved raising of funds for an aggregate amount not exceeding ₹320 crores through issue of Equity Shares by way of Qualified Institutions Placement (QIP), in accordance with the relevant provisions of applicable law and subject to approval of the company’s shareholders and receipt of applicable regulatory approvals,” said the firm in an exchange filing.

The company specializes in producing a diverse array of automotive parts for well-known Original Equipment Manufacturers (OEMs) according to their specifications, serving different vehicle categories like passenger cars, two-wheelers, three-wheelers, heavy and light commercial vehicles, and off-road vehicles. 

In addition, the company offers aftermarket sales and services, which include products it manufactures such as filters, clutch plates, bearings, wiper blades, and brake shoes.