Rashtriya Chemicals stock jumps over 17% on cabinet nod to land transfer

Shares of Rashtriya Chemicals and Fertilizers (RCF) Friday jumped more than 17 per cent in morning trade on bourses after the cabinet gave nod to transfer the state-run firm's land to Mumbai Metropolitan Regional Development Authority (MMRDA).

The cabinet Wednesday gave ex-post facto approval for transfer of land of RCF to MMRDA.

Following the development, shares of the RCF Friday opened on a bullish note at Rs 78.55, then touched a high of Rs 79.85, up 17.85 per cent over its previous closing price.

Similar movement was seen on NSE as well, where the stock opened at Rs 79.25 then touched a high of Rs 79.60, up 17.23 per cent over its last close.

MMRDA had acquired 48,849.74 square metre land of RCF and completed the construction of the Eastern Free Way-AnikPanjrapol Link Road (APLR), opened for public use in 2014.

In a statement, the government said the cabinet has given ex-post facto approval for transfer of RCF's land to MMRDA and also a proposal for approval for transfer of the state-run fertiliser unit's land to Municipal Corporation of Greater Mumbai (MCGM).

The cabinet has approved selling of transferable development right (TDR) certificate received/receivable against the transfer of land to MMRDA and MCGM.