Deepak Fertilisers gains after arm buys stake in MCF

The company's arm acquired marginal stake in Mangalore Chemicals and Fertilisers.

Shares of Deepak Fertilisers and Chemicals were up 2% at Rs 128 after the company announced that its arm acquired marginal stake in Mangalore Chemicals and Fertilisers.

SCM Soilfert Limited (SSL), a wholly owned subsidiary of the Company has acquired on April 23, 2014, 10,01,309 equity Shares of face value of Rs. 10/- each representing 0.84% of share capital of Mangalore Chemicals & Fertilisers Limited (MCFL), Deepak Fertilisers said in release on Thursday.

Consequent to the said purchase SSL now holds 2,99,92,459 Equity Shares i.e. 25.31% in MCFL, the release said.

Recently, Deepak Fertilisers made an open offer for acquisition of up to 30.81 million shares representing 26% of total equity of MCF at a price of Rs 61.75 per share.

The stock opened around Rs 125 and touched an intra-day high of Rs 131 so far. Over 131,000 shares were traded on both the stock exchanges so far.