Divestment Hopes Push Up Ibp

Riding on the divestment wave, share prices of IBP today reached an all-time high of Rs 466 per share with nearly 4 per cent of the liquid stocks changing hands on the bourses.

The scrip touched an intra-day high of Rs 466 on the National Stock Exchange and Rs 463 on the Bombay Stock Exchange. The combined trading volume on the bourses stood at 1,52,593, representing 3.8 per cent of the oil major's liquid stocks.

Analysts said the share price movement of the company suggested that "there was no looking back" at the counter.

"Last month, the scrip breached its earlier 52-week high of Rs 426. Following technical corrections, the scrip has found only one way to go up," said a senior analyst.

If there was no set back in the proposed divestment procedure of the company, the bull run may continue for some time, obviously coupled with profit-booking and technical corrections, they added.

Because of the large block of shareholding by the government and financial institutions, the floating stock of the company was 39,93,000 shares, representing the public holding of 18.15 per cent of 2.2 crore of paid-up equity capital. Out of this, 1,52,593 shares constituting 3.8 per cent were traded on Friday.

On NSE, the day's trading opened at Rs 428, Rs 8 higher than the overnight closing of Rs 419.90, up nearly 7 per cent, touched an intra-day high of Rs 466 and closed at Rs 449.

The stock opened at Rs 419.05 on BSE, touched an intra-day high of Rs 463 before closing at Rs 447.30. Volumes were higher on NSE at 1,28,967, while BSE recorded a volume of 23,623.