JBM Auto surges as JV to manufacture India's first electric bus

JBM Auto surged 5.52% to Rs 138.60 at 11:14 IST on BSE after the company announced a joint venture with Solaris Bus & Coach S.A. to manufacture India's first 100% electric bus ECOLIFE in the country.

The announcement was made after market hours yesterday, 19 July 2016.

Meanwhile, the S&P BSE Sensex was up 73.36 points or 0.26% at 27,860.98.

On BSE, so far 16,000 shares were traded in the counter as against average daily volume of 3,361 shares in the past one quarter. The stock hit a high of Rs 140 and a low of Rs 135 so far during the day. The stock had hit a 52-week high of Rs 216 on 11 December 2015. The stock had hit a 52-week low of Rs 101 on 12 Febraury 2016. The stock had underperformed the market over the past one month till 19 July 2016, advancing 0.42% compared with Sensex's 4.36% rise. The scrip had also underperformed the market in past one quarter, sliding 8.97% as against Sensex's 7.64% rise.

The small-cap company has equity capital of Rs 20.40 crore. Face value per share is Rs 5.

Solaris Bus & Coach S.A. is a renowned European bus manufacturer. JBM Auto's joint venture with Solaris JBM Solaris will invest Rs 300 crore towards engineering, design and development, manufacturing, supply chain development among other focus areas in this electric mobility project completely made in India.

On consolidated basis, JBM Auto's net profit declined 45% to Rs 9.67 crore on 17.8% growth in net sales to Rs 385.38 crore in Q4 March 2016 over Q4 March 2015.

JBM Auto is the flagship company of JBM Group. The company is the leading manufacturer of auto components and buses in India.

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