Orient Abrasives hits the circuit on bonus buzz

DALAL STREET SPIKES

Share prices of Orient Abrasives hit the upper circuit of five per cent at Rs 256.55 on the BSE, after opening the day's trading at Rs 253 which was also the high for the day. Volumes on the scrip were of the order of 9,794 shares on the BSE.

Last week the company had said that it would be considering a bonus issue and dealers said that this was still driving the stock price up. From the beginning of this month, the stock price has appreciated by more than 21 per cent, though there has been some volatility in the stock recently. The board is scheduled to meet on June 11 to take up the bonus issue.

According to available data, the company has fairly small equity base of nearly Rs three crore, while the book value is around Rs 69 per share.