Nalco surges 9% on Rs 3,250-cr share buy-back plan

Shares of state-run Nalco today ended with gains of over 9 per cent after the firm said its board will discuss the estimated Rs 3,250 crore share buy-back plan.
Shares of the company today closed at Rs 45.20 on BSE, up 9.71 per cent over the previous close.
On NSE, the scrip settled at Rs 45.20, up 9.31 per cent. Total 53.63 lakh shares were traded on the exchanges.
Nalco in a regulatory filing on Wednesday said: "A meeting of Board of Directors of the company will be held on April 22, 2016, inter alia, to consider the proposal for alteration in articles of association of the company and buy-back of the fully paid-up equity shares of the company."

Sources said the government may raise about Rs 3,250 crore by selling 25 per cent of its shares to Nalco.
In January, Mines Ministry had said Finance Ministry asked it to allow Nalco to buy-back 25 per cent of governments stake in the Navratna company in a bid to tap PSUs funds to make up for shortfall in disinvestment proceeds.
Earlier, the government was hoping to sell 10 per cent stake in Nalco to raise about Rs 1,300 crore but volatile markets have derailed its plans.
The government has also directed central public sector enterprises to pay 30 per cent dividend and cash-rich PSUs like Coal India to issue bonus shares.