BF Utilities zooms 175% in two months

BF Utilities is locked in upper circuit of 5% at Rs 493, extending its two-month long rally on the BSE, after the company has received Karnataka High Court’s (HC) clearance for Nandi Infrastructure Corridor Enterprises /Nandi Economic Corridor Enterprises (NICEL/NECEL) project.

At 1500 hours, a combined 98,874 shares have changed hands on the counter and there are pending buy orders for 46,768 shares on the BSE and NSE.

Since October 23, shares of Kalyani Group Company BF Utilities have zoomed 176% from Rs 178 on the BSE as compared to 1% rise in benchmark S&P BSE Sensex. The stock is currently trading at its highest level since July 2012.

On October 30, 2013, BF Utilities said, the Karnataka High Court confirms the approval given to NICE/NECEL to develop residential layout in its project by the BMICAPA (Area Planning Authority) and the same is envisaged in the framework agreement signed between NECEL and the state government of Karnataka on 3rd April 1997.

Meanwhile, the stock has surged 57% so far in the current month despite the scrip shifted to the trade-for-trade or 'T' group. The stock exchanges shifted the stock to T group as part of a surveillance review to safeguard the interests of investors in the capital market.

In the trade-for-trade segment, no speculative trading is allowed and delivery of shares and payment of consideration are mandatory. Price movements of these stocks will be restricted to a maximum of 5%.

According to September 2013 shareholding pattern, the promoters held 66.03% stake in the company. Institutional investors held 1% stake, while the remaining 33% holdings are with the individual shareholders and bodies corporate.