Garware Poly Hits The Upper Circuit For 3rd Day In A Row

Shares of Garware Polyester vaulted to the circuit levels on the third consecutive day on the Bombay Stock Exchange (BSE) today.

The stock wound up at Rs 12.75, thereby racing a new 52-week high. Dealers said that the market was expecting a buyback from the company at a hefty premium to the current market price.

However, there is no official intimation in this regard from the company either as a public announcement or a notice to the exchanges.

The company is a leading manufacturer of polyester film in the country. Apart from polyester films, the company has diversified into video magnetic tapes, computer tapes, audio magnetic tapes, U-matic video cassettes, and value-added products like sun-control films.

As of September 30, 2001, the promoters held 32.48 per cent stake in the company, institutional investors 7.18 per cent, private corporate bodies 25.21 per cent, public 35.05 per cent, non-resident Indians and overseas corporate bodies 0.08 per cent of the total Rs 21.78 crore of equity capital of the company.

The company, in its results announcement for December quarter, had said that it was on a recovery path due to its initiatives in re-engineering and cost reduction measures.

For the December quarter the company made an operating profit of Rs 23.39 crore on sales of Rs 79.54 crore. However at the net level, it has posted a loss of Rs 7.99 crore.