Zen Technologies’ Qualified Institutional Placement (QIP) opened today and the company has fixed the reserve price at Rs 1,685.18 per share, a discount of 6% to today’s closing price of Rs 1,782.95 on the NSE.

The issue size is Rs 800 crore, according to CNBC TV18. On January 27, 2024, the company’s board of directors had approved the plan to raise a maximum of Rs 1,000 crore.

The company said it could offer a discount of up to 5% on the floor price of the issue. The stock price rose by Rs 84.90, or 5%, today from Tuesday’s closing price.

At its meeting today, the Board of Directors approved the opening of the issue and at the same time set the minimum price.

Shares of Zen Technologies have given a multibagger return of 120% over a period of one year, outperforming Nifty50 whose return is 28% during this period. So far in 2024, the return has been 14%. The stock is currently trading above its 50- and 200-day SMAs (Simple Moving Averages) of Rs 752 and Rs 617 respectively and its rise has pushed it into an overbought zone. The momentum indicator MFI reported by Trendlyne is at 72. A reading above 70 is considered overbought while a reading below 30 is considered oversold. Founded in 1993, Zen Technologies Limited designs, develops and manufactures combat training solutions for training defence and security forces globally. It also offers anti-drone solutions to protect the borders, critical infrastructure, etc. The Hyderabad-based company also has offices in the United Arab Emirates and the United States.

Zen Technologies has a portfolio of over 40 self-designed and developed products, including live fire, live instrumented, virtual and constructive training systems for individual and collective training as well as counter drone solutions.