Why Tata Technologies and Ireda shares rose up to 4% in trade today?

Tata Technologies and Indian Renewable Energy Development Agency (Ireda) shares rose up to 4.2 per cent in Thursday's trade on BSE. The stocks surged after National Stock Exchange (NSE) announced their futures and options (F&O) contracts would be available for trading from February 28, 2025.

 

Around 9:53 AM, Tata Tech share price was up 2.97 per cent at Rs 751.4 per share on BSE and Ireda share price was up 1.09 per cent at Rs 172.05 per share. In comparison, the BSE Sensex was down 0.48 per cent at 75,577.01. 

 

"Members are advised to note that based on the stock selection criteria as prescribed by Sebi vide circular no. SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/116 dated August 30, 2024, and approval received from Sebi, members are hereby notified that the futures and options contracts on Ireda and Tata Technologies securities would be available for trading w.e.f. February 28, 2025, subject to fulfilment of eligibility criteria of Quarter sigma computation cycle of February 2025," the NSE circular read. 

 

The circular also said that the market lot and scheme of strikes of the mentioned securities shall be informed to members on February 27, 2025, through a separate circular. The details of applicable quantity freeze shall be available in the contract file which shall be applicable for trading on February 28, 2025.

 

"Members are advised to load the updated contract.gz and NSE_FO_contract_ddmmyyyy.csv.gz file in the trading application before trading on the effective date. This file can be obtained from the directory faoftp/faocommon on the Extranet server." the circular added.

 

F&O are financial derivatives traded on stock exchanges. These instruments derive their value from an underlying asset, such as a stock, index, commodity, or currency.

 

Tata Technologies is a global engineering and technology services company that provides a range of services such as product development, manufacturing solutions, and information technology (IT) services. It is a part of the Tata Group, one of India's largest and most diversified conglomerates.

 

Ireda is a public sector enterprise under the Ministry of New and Renewable Energy (MNRE), Government of India. IREDA was established in 1987 with the goal of promoting and financing renewable energy projects in India.