Tata Global Beverages at new high, stock surges 22% in two weeks

Tata Starbucks planning to open the first store in India in the Horniman Circle area of Mumbai by the end of October 2012

Tata Global Beverages is trading higher by 3% at Rs 161, also its new high, on back of heavy volumes ahead of the opening of first Starbucks store in India by the end of current month.

A combined 6.91 million shares have already changed hands on the counter so far, against an average around 6 million shares traded daily in past two weeks on the BSE and NSE.

“Tata Starbucks, the 50/50 joint venture between Starbucks Coffee Co and Tata Global Beverages, is planning to open the first store in India in the Horniman Circle area of Mumbai by the end of October 2012,” the company said in a statement.

Tata Group Company engaged in tea and coffee business has outperformed the market by rising 22% since September 27 as compared to less than 1% rise in benchmark Sensex.

Meanwhile, analyst expects that the company will post a strong net profit growth for the quarter ended September 2012, due to lower tea and coffee prices compared to last year.