Greaves Cotton spurts after acquisition

Greaves Cotton advanced 6.75% to Rs 156.55 at 09:23 IST on BSE after the company's board of directors has approved the proposal of investment in Ampere Vehicles.

The announcement was made after market hours yesterday, 29 August 2018.

Meanwhile, the S&P BSE Sensex was down 25.87 points, or 0.07% to 38,697.06

On the BSE, 1.01 lakh shares were traded in the counter so far, compared with average daily volumes of 2.59 lakh shares in the past two weeks. The stock had hit a high of Rs 159.90 and a low of Rs 155 so far during the day. The stock hit a record high of Rs 178 on 4 May 2017. The stock hit a 52-week low of Rs 112.45 on 23 March 2018.

The mid-cap company has equity capital of Rs 48.84 crore. Face value per share is Rs 2.

Ampere Vehicles established in 2008, is into design, development, manufacturing and marketing battery operated electric vehicles which include electric cycles, electric two wheeler, electric three wheeler and custom built electric vehicles. The electric vehicles are available for personal mobility, industrial applications and materials movement. First phase costing Rs 77 crore for acquiring 67% is to be completed by 31 December 2018. The company can acquire another 13% at its discretion for Rs 75.5 crore in a span of three years.

Net profit of Greaves Cotton fell 3.23% to Rs 39.84 crore on 12.78% rise in net sales to Rs 458.16 crore in Q1 June 2018 over Q1 June 2017.

Greaves Cotton is multi-product, multi-locational company is one of the leading engineering companies in India with core competencies in diesel/petrol engines, farm equipment and gensets.

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