McLeod Russel stock recovers; hits 52-week high
McLeod Russel stock recovered from its early morning losses and was trading over 10% higher after a huge block deal in which its promoter Kamal Kishore Baheti sold nearly 9% stake in the company.
The stock is currently trading at Rs240.35, up by Rs21.35 or 9.75% from its previous closing of Rs219 on the BSE. The scrip opened at Rs219.5 and has touched a high and low of Rs248.3 and Rs205 respectively.
The company said in a notice to BSE that Kamal Kishore Baheti, the trustee for Borelli Tea Holdings Ltd, has sold 10 million shares representing around 9% stake in the company. However, the buyers’ name was not known.
As of September quarter, Baheti held nearly 24.73% stake, and with this stake sale, he now holds around 15.59% stake in the company.
After the block deal, the stock fell as much as 6.4% to Rs205 a share. However, the stock soon erased all the losses and gained as much as 10%.
The stock has gained in the last nine out of 11 trading sessions and rose 45% in this period. So far this year, it has gained 60.56%. The stock rose as much as 10% to its highest level in over two years to Rs242.
The promoters holding in the company stood at 49.89% while Institutions and Non-Institutions held 32.17% and 17.94 % respectively.
McLeod Russel is India’s largest tea producer having domestic production of ~85mkg and Vietnam & Africa of ~29mkg in FY17. It generated 79% revenue from India, 9% from Uganda and 4% each from Rwanda, Vietnam and Others, respectively in FY17. It has grown at revenue of 7% CAGR over FY15-17.
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Via:: Stock – India Infoline