Shilpa Medicare gains as board approves amalgamation with Navya Biologicals

Shilpa Medicare rose 2.72% to Rs 498 at 11:35 IST on BSE after the company's board of directors approved the amalgamation of Navya Biologicals with the company.

The announcement was made after market hours yesterday, 27 June 2016.

Meanwhile, the BSE Sensex was up 61.16 points, or 0.23%, to 26,464.12

On BSE, so far 11,000 shares were traded in the counter, compared with an average volume of 9,060 shares in the past one quarter. The stock hit a high of Rs 515 and a low of Rs 490.15 so far during the day. The stock hit a record high of Rs 623.35 on 5 August 2015. The stock hit a 52-week low of Rs 355 on 20 January 2016. The stock had outperformed the market over the past 30 days till 27 June 2016, rising 10.02% compared with 0.94% fall in the Sensex. The scrip had also outperformed the market in past one quarter, advancing 16.9% as against Sensex's 6.03% rise.

The mid-cap company has an equity capital of Rs 7.71 crore. Face value per share is Re 1.

Shilpa Medicare said that the indicative time period for the completion of merger in 7 to 8 months. The total consideration shall be paid by way of share swap of 14 lakh shares of Shilpa Medicare to be issued to the shareholders of Navya Biologicals (NBPL). NBPL, a company incorporated under the Companies Act, is engaged on research and development activities in the field of biologicals. NBPL has specifically been in the development of bio-similars and bioprocess technology platforms. The company reported net profit of Rs 0.77 crore on turnover of Rs 3.80 crore in the year ended 31 March 2016.

On a consolidated basis, Shilpa Medicare's rose 66.76% to Rs 37.47 crore on 19.04% rise in net sales to Rs 198.48 crore in Q4 March 2016 over Q4 March 2015.

Shilpa Medicare is engaged in the business of bulk drugs manufacturing.

Powered by Capital Market - Live News