Magma Fincorp, the growing Non Banking Financial Company in India, today announced the board of directors have approved preferential allotment of equity shares worth Rs 5 billion (USD 80 million) to a clutch of investors including KKR; Indium V, an investment vehicle advised by India Value Fund Advisors (IVFA); and LeapFrog investments. The transaction is subject to customary regulatory approvals.

Indium and LeapFrog, both new investors in the company, will invest Rs 2.20 billion and Rs 2 billion respectively. KKR, which first invested in Magma in 2011, will inject an additional Rs 800 million. The company will issue 46.3 million equity shares at a price of Rs 108 a share (face value of Rs 2 and a premium of Rs 106.)

Shares of the company gained Rs 10.2, or 12.27%, to trade at Rs 93.35. The total volume of shares traded was 61,180 at the BSE (12.54 p.m., Monday).