CFCL gains after entering into agreement for sale of textile business to Sutlej

Chambal Fertilisers and Chemicals rose 1.91% to Rs 58.70 at 14:45 IST on BSE after the company entered into an agreement for sale of its textile business, Birla Textile Mills to Sutlej Textiles and Industries.

The company made announcement after trading hours yesterday, 30 June 2015.

Meanwhile, the BSE Sensex was up 231.09 points, or 0.83%, to 28,011.92.

On BSE, so far 56,014 shares were traded in the counter, compared with an average volume of 80,282 shares in the past one quarter.

The stock hit a high of Rs 59.60 and low of Rs 58.15 so far during the day. The stock hit a 52-week high of Rs 77 on 8 April 2015. The stock hit a 52-week low of Rs 52.45 on 14 July 2014.

The stock had underperformed the market over the past one month till 30 June 2015, falling 6.42% compared with 0.17% fall in the Sensex. The scrip had also underperformed the market in past one quarter, dropping 10.56% as against Sensex's 0.7% decline.

The mid-cap fertiliser company has an equity capital of Rs 416.21 crore. Face value per share is Rs 10.

Chambal Fertilisers and Chemicals has entered into a business purchase agreement yesterday, 30 June 2015, for sale of its textile business, Birla Textile Mills (BTM) to Sutlej Textiles and Industries as a going concern on slump sale basis. The unit is located at Baddi in Himachal Pradesh. The aforesaid transaction is subject to requisite approvals. The Competition Commission of India has already approved the present transaction. The aforesaid transaction is expected to be completed by 30 September 2015, Chambal Fertilisers and Chemicals said.

Chambal Fertilisers and Chemicals reported net loss of Rs 103.57 crore in Q4 March 2015 compared with net profit of Rs 5.63 crore in Q4 March 2014. Total income rose 6.1% to Rs 1581.35 crore in Q4 March 2015 over Q4 March 2014.

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