Sterlite Tech shares in upper circuit after launching QIP at premium; Stock up 500% this year

Shares of Sterlite Tech ended 3.7% lower on Wednesday at ₹584.95. The stock continues to remain under Stage 4 of the Long-term Additional Surveillance Measures (ASM) framework, which requires payment of 100% margins upfront, prevents intraday trading and also puts the stock under a 5% circuit limit.

Sterlite Technologies Ltd., shares of whom are the second-best performers on the BSE Smallcap index in 2026 so far with a 500% rally, has launched an institutional share sale to raise funds from eligible institutional investors.

The board of Sterlite Technologies approved the launch of the Qualified Institutional Placement (QIP) on Wednesday, June 24, it said in an exchange filing late last night.

Sterlite Tech's board has also approved and adopted the preliminary placement document and has invited bids from eligible investors for the QIP.

Floor price for the QIP has been fixed as ₹613.69 per share, which is a premium of 5% from Wednesday's closing price for the stock. The company may or may not offer a discount of not more than 5% on the floor price when the issue price for the QIP is determined.

The issue price will be determined in consultation with the Book Running Lead Managers (BRLMs) appointed for this QIP. The filing does not specify when the Authorisation and Allotment Committee of the company's board would meet again to determine the issue price and size of the QIP.

Shares of Sterlite Tech are up 470% so far in 2026, and that is after having corrected 14% from its peak of ₹679.9.

In a note earlier this year, brokerage firm Nuvama had written that the company is now positioned to capture the emerging data center opportunity.

For financial year 2026, 19% of Sterlite Tech's revenue came from the Enterprise and Data Center business, a number that will increase to 30% in financial year 2027.

On May 22, the company also won a product award letter from one of its hyperscale partner, with a total potential value of $1.1 billion or nearly ₹10,000 crore.

Shares of Sterlite Tech are locked in a 5% upper circuit on Thursday at ₹613.35, which is nearly the same as the QIP floor price. The stock continues to remain under Stage 4 of the Long-term Additional Surveillance Measures (ASM) framework, which requires payment of 100% margins upfront, prevents intraday trading and also puts the stock under a 5% circuit limit.

At the end of the March quarter, promoters of Sterlite Technologies had a 44.44% stake in the company, as disclosed on the BSE shareholding pattern.