Aditya Birla Group is set to pump in Rs 1,250 crore into its financial services arm Aditya Birla Capital (ABCL). The board of ABCL, which is into lending, asset management and insurance, on Thursday approved a preferential issuance of Rs 1,250 crore to its promoter and promoter group entity, according to a statement on Thursday. 

Recently, ABCL announced its intent to raise Rs 3,000 crore, and its Chief Executive and Managing Director Vishakha Mulye had told reporters that any of the businesses needing capital would get capital to fuel its growth. ABCL said that the preferential issue would be undertaken at a price of Rs 165.1 per equity share and is subject to shareholders’ approval. Shares of the company closed by 0.91 per cent up at Rs 171.70 a piece on the BSE on Thursday. 

Aditya Birla Group flagship Grasim Industries will also invest Rs 1,000 crore, while Surya Kiran Investments, another group entity, will invest Rs 250 crore in the preferential issue, the statement said. The funds raised will be used for augmenting the capital base, improving the solvency margin and leverage ratio, meeting the growth and funding requirements. d leverage ratio, meeting the growth and funding requirements.