Vascon Engineers, a diversified entity having interests in real estate development, witnessed a rise in share price on Thursday after it Wednesday announced that the company plans to raise Rs 2 billion to reduce the company's debt.

The company said, 'We have raised Rs. 1 billion through a rights issue. The rights issue was subscribed by over 130%.'

"Besides the amount raised through rights issue, the company will also raise another Rs. 1 billion through the sale of its non-core assets like hotels etc. The proceeds from these sales will be used to further reduce its debt to sub Rs. 2 billion levels. This would also help the company to improve its cash flows and its performance," it added

The promoters of the company infused Rs. 600 million through this issue, thereby, increasing the promoter shareholdings to 48.02%. 

Shares of Vascon Engineers are trading at Rs 23.50, up Rs 0.2, or 0.86% at the Bombay Stock Exchange (BSE) on Thursday at 11:27 a.m.

Total volume of shares traded on the bourses today was higher by 30,407.18% to 1,399,517 compared with 22-day average volume of 4,588.