Matrix Labs peaks on bonus issue plan

DALAL STREET SPIKES

Matrix Labs hit an all-time high after the company on Monday said its board would consider a bonus issue and a stock-split.

As a result, in a subdued market, the stock gained 8.47 per cent to close at Rs 1,847.50 after touching an intra-day high of Rs 1,873.45, its all-time high. The board will meet on October 26 to consider a stock-split and the issue of bonus shares.

With Monday's gain, the stock has now appreciated more than 15 per cent in two trading sessions, indicating that the market has a prior indication of some positive development at the counter.

The counter witnessed a volume of more than 87,000 shares on the BSE.

The stock has been attracting foreign institutional investors of late. Two leading institutions "" Maxwell and Newbridge Investments "" have a substantial stake in Matrix by way of a preferential issue. Matrix is a major manufacturer of active pharma ingredients and operates in the antibiotics and anti-viral space.