On June 12, Titagarh Wagons shares moved a 52-week high in the opening trade but erased all gains and traded 2% lower amid selling pressure.

Titagarh Wagons had touched a 52-week high of Rs 427.

On June 10, Wagon manufacturer Titagarh Wagons, now known as Titagarh Rail Systems Limited, said its board had permitted the proposal to raise Rs 288.8 crore through preferential allotment of shares to small-cap World Fund Inc.

In an exchange filing, Titagarh Wagons stated that the board gave the green signal for issuing up to 76 lakh shares to the Capital Group company.

The exchange filing reported that the funds raised through the issuance of up to 76 lakh equity shares of face value Rs 2 each will have proceeded on a preferential basis to Small-cap World Fund Inc. It will be valued at 380 apiece as against a floor price of Rs 347.68 per share for an aggregate amount of up to Rs 288,80,00,000.