Mandhana Retail Ventures hits upper circuit on debut

The stock locked in upper circuit of 5% on debut after demerger from Mandhana Industries

The Mandhana Retail Ventures is locked in upper circuit of 5% at Rs 227 on the BSE on the first day of its listing after demerger from Mandhana Industries. On the National Stock Exchange (NSE), the stock locked at upper price band of Rs 224.

Till 10:05 am; a combined 407,444 equity shares changed hands on the counter and there were pending buy orders for 381,257 shares on the BSE and NSE.

“The equity shares of The Mandhana Retail Ventures are listed and admitted to dealings on the exchange in the list of 'T' group securities,” BSE said in a statement.

The "T" group represents securities which are settled on a trade-to-trade basis as a surveillance measure.

The board of directors of Mandhana Industries on November 22, 2014, had approved the demerger of the company’s retail and trading business of the brand Being Human to Mandhana Retail Ventures Limited (MRVL).

Pursuant to the scheme of arrangement involving demerger of retail business  undertaking of Mandhana Industries (Demerged Company) into The Mandhana Retail Ventures Limited (Resulting Company), the Resulting Company would issue:  2 fully paid up equity shares of Rs 10 each of the Resulting Company for every 3 fully paid up equity shares of the demerged company.

Meanwhile, shares of Mandhana Industries has surged 18% to Rs 36.25 on the BSE in intra-day trade, extending its Tuesday’s 20% rally on back of heavy volumes.

Currently, the stock was up 14% at Rs 34.85 on back of three-fold jump in trading volumes. A combined 3.29 million shares changed hands on the counter on the BSE and NSE.