Idea Cellular gains on buzz of nod to increase FII investment cap

Idea Cellular rose 1.61% to Rs 170.45 at 9:55 IST on BSE on reports that the company has received shareholders' nod for raising the ceiling on investment in the company by foreign institutional investors to 49% from 24%.

Meanwhile, the BSE Sensex was down 25.33 points, or 0.12%, to 21,168.25.

On BSE, so far 55,000 shares were traded in the counter, compared with an average volume of 5.58 lakh shares in the past one quarter.

The stock hit a high of Rs 171.65 and a low of Rs 169.65 so far during the day. The stock hit a record high of Rs 188.35 on 15 October 2013. The stock hit a 52-week low of Rs 101.10 on 8 April 2013.

The stock had underperformed the market over the past one month till 27 December 2013, falling 4.31% compared with the Sensex's 3.79% rise. The scrip had also underperformed the market in past one quarter, sliding 2.79% as against Sensex's 7.43% rise.

The large-cap company has an equity capital of Rs 3318.16 crore. Face value per share is Rs 10.

Idea Cellular had convened an extraordinary general meeting (EGM) on 26 December 2013 for obtaining shareholders' approval for increasing the aggregate investment limit of foreign institutional investors (FIIs) from 24% to 49% of the paid-up equity capital of the company.

Total FII holding in the company stood at 17.3% as on 30 September 2013.

Idea Cellular's consolidated net profit surged 86.5% to Rs 447.61 crore on 19% growth in net sales to Rs 6315.18 crore in Q2 September 2013 over Q2 September 2012.

Idea Cellular, part of the Aditya Birla Group, is the third largest listed wireless operator in India.

Powered by Capital Market - Live News