Dredging Corp highly volatile on buzz of likely govt stake sale

Dredging Corp fell 1.37% to Rs 402.40 at 15:09 IST, with the stock dropping amid volatility on reports that the government plans to sell a 5% stake in the company.

Meanwhile, the S&P BSE Sensex was up 308.19 points or 1.06% at 29,314.21.

On BSE, so far 12,000 shares were traded in the counter as against average daily volume of 22,563 shares in the past one quarter.

The stock was volatile. The stock fell as much as 1.93% at the day's low of Rs 400.10 so far during the day. The stock rose as much as 1.47% at the day's high of Rs 414 so far during the day. The stock had hit a 52-week high of Rs 567 on 22 May 2014. The stock had hit a 52-week low of Rs 207.20 on 24 February 2014.

The stock had underperformed the market over the past one month till 22 January 2015, sliding 1.41% compared with Sensex's 4.71% rise. The scrip had also underperformed the market in past one quarter, declining 9% as against Sensex's 8.28% rise.

The small-cap company has equity capital of Rs 28 crore. Face value per share is Rs 10.

The Government of India (GoI) held 78.56% stake in Dredging Corporation of India (as per the shareholding pattern as on 31 December 2014).

Dredging Corporation of India's net profit fell 67.2% to Rs 3.24 crore on 9.8% decline in net sales to Rs 165.51 crore in Q3 December 2014 over Q3 December 2013.

State-owned Dredging Corporation of India is the premier dredging company in the country. Dredging is the process of excavating/ or removing soil/or rock from under the water by a dredger. The main objective of dredging is the creation of deeper water to improve navigation.

Powered by Capital Market - Live News