GSFC drops as RBI places restrictions on further purchases by RFPIs

Gujarat State Fertilizers & Chemicals lost 3.31% to Rs 105.05 at 11:21 IST on BSE after the Reserve Bank of India placed restrictions on further purchases of shares of the company by registered foreign portfolio investors.

Meanwhile, the BSE Sensex was down 12.90 points, or 0.05%, to 27,195.71

On BSE, so far 1.65 lakh shares were traded in the counter, compared with an average volume of 4.95 lakh shares in the past one quarter.

The stock hit a high of Rs 110.75 and a low of Rs 103.35 so far during the day. The stock hit record high of Rs 124.50 on 3 November 2014. The stock hit a 52-week low of Rs 43.70 on 4 March 2014.

The stock had outperformed the market over the past one month till 24 December 2014, rising 1.07% compared with Sensex's 4.53% fall. The scrip had also outperformed the market in past one quarter, gaining 4.82% as against Sensex's 1.73% rise.

The mid-cap company has an equity capital of Rs 79.70 crore. Face value per share is Rs 2.

The Reserve Bank of India (RBI) after market hours on Wednesday, 24 December 2014, notified that the foreign shareholding through Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs) in Gujarat State Fertilizers & Chemicals (GSFC) has reached the trigger limit. Therefore, further purchases of equity shares of the company would be allowed only after obtaining prior approval of the Reserve Bank of India, it added.

GSFC's net profit rose 22.7% to Rs 124.31 crore on 4.5% rise in net sales to Rs 1481.60 crore in Q2 September 2014 over Q2 September 2013.

GSFC is engaged in manufacturing and marketing fertilizers, petrochemicals, chemicals, industrial gases, plastics, fibers and other products.

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