Eimco Elecon zooms 17% after Kedia Securities buys stake via bulk deal

Eimco Elecon (India) shares zoomed 16.8 per cent on the BSE, logging an intraday high at ₹2,241.25 per share. At 11:17 AM, Eimco Elecon’s share price was trading 12.55 per cent higher at ₹2,158.15 per share on BSE. In comparison, the BSE Sensex was down 0.21 per cent at 81,756.22.

 

The market capitalisation of the company stood at ₹1,244.9 crore. Its 52-week high was at ₹3,394.75 per share, and its 52-week low was at ₹1,250 per share. 

Why were Eimco Elecon shares in demand? 

The small-cap industrial product company’s shares were rising after Kedia Securities and Niveza Smallcap Fund bought shares through the open market. 

 

According to the National Stock Exchange (NSE) bulk deal data, Kedia Securities bought 57,441 shares at ₹1,906.71 per share, and Niveza Smallcap Fund purchased 30,000 shares at ₹1,792.58 per share of the company. 

 

Kedia Securities is the investment arm of Dr. Vijay Kedia. Primary activities of the firm include investing in the ‘listed’ and ‘unlisted’ space. ‘Listed space’ being investing in companies that are listed on the stock exchanges of India and ‘unlisted’ space being investing in startups. Apart from it, the firm also invests in real estate.  ALSO READ | Yatharth Hospital, Aster DM surge up to 8%, stocks at new highs; here's why 

Promoters of the company held 73.64 per cent stake as of the June quarter. 

 

Eimco Elecon is in the business of manufacturing and marketing equipment for underground and opencast mines. Eimco Elecon (India) Limited was the first to introduce the intermediate technology of Side Dump Loaders (SDLs), Load Haul Dumpers (LHDs), and Rocker Shovel Loaders in India to partially mechanise the underground Coal and metalliferous mines.

 

According to the company’s official website, it has produced more than 3,800 machines, which are working successfully at various mining and construction sites in India and abroad. The company also provides sales and after-sales support through the network of branch offices and parts depots across the country viz. Asansol, Bilaspur, Dhanbad, Kolkata, Nagpur, Secunderabad, Bangalore, Chennai, Jamshedpur, Mumbai and New Delhi.