Gillette India inches up after recent slide

Gillette India rose 0.57% to Rs 2,080.05 at 14:43 IST on BSE, with the stock recovering on bargain hunting after recent slide triggered by the company's clarification to a media news that it has no plans for an open offer or delisting.

Meanwhile, the S&P BSE Sensex was up 100.33 points or 0.48% at 20,813.70.

On BSE, so far 1,424 shares were traded in the counter as against average daily volume of 3,619 shares in the past one quarter.

The stock was volatile. The stock rose as much as 3.66% at the day's high of Rs 2,144 so far during the day. The stock rose 0.08% at the day's low of Rs 2,070 so far during the day. The stock had hit a 52-week high of Rs 2,600 on 9 January 2013. The stock had hit a 52-week low of Rs 1,872 on 13 November 2013.

The stock had outperformed the market over the past one month till 9 January 2014, surging 5.26% compared with the Sensex's 2.87% fall. The scrip had, however, underperformed the market in past one quarter, advancing 0.24% as against Sensex's 2.29% rise.

The mid-cap company has equity capital of Rs 32.59 crore. Face value per share is Rs 10.

Shares of Gillette India had fallen 6.21% in two trading sessions to settle at Rs 2,068.30 on Thursday, 9 January 2014 from a recent high of Rs 2,205.45 on 7 January 2014 after the company during trading hours on Wednesday, 8 January 2014 issued a clarification to the exchanges stating that the company has no plans for an open offer or delisting.

Gillette India in a clarification to the exchange on a media news item said it has no plans for an open offer or delisting. A media report suggested that investors have been speculating about a possible open offer and delisting of Gillette India. The firm's shares have risen sharply in the past few days on high volumes on buzz that such an offer is imminent. Two bankers have apparently been appointed to do the process, the report said.

However, Gillette India clarified to the bourses that it has no plans for an open offer or delisting. The said news regarding possibility of an open offer by the company or delisting of the company is untrue. "In fact, the company has recently successfully completed a sell-down of shares to deliver compliance with SEBI's minimum public shareholding requirement," Gillette India said in a statement.

As on 30 December 2013, promoters held 75% in Gillette India.

Gillette India's net profit declined 39% to Rs 15.14 crore on 15.6% growth in net sales to Rs 387.17 crore in Q1 September 2013 over Q1 September 2012.

Gillette India is a leading company in the personal grooming segment.

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