Crompton Greaves has surged 7% to Rs 159, its highest level since February 2012 on the BSE, on back of heavy volumes. At 1220 hours, a combined 6.93 million shares changed hands on the counter against an average sub 5 million shares that were traded daily in past two weeks on the BSE and NSE.
Shares of heavy electrical equipment maker has rallied 5% on Friday, after the company said it have not aware on the rumored stake sale by the promoters of the company.
The company has made a clarification on the news item appearing in a financial daily titled "Thapar Puts Avantha Powerhouse Crompton Greaves on the Block."
According to Times of India report, Gautam Thapar, the promoter of Crompton Greaves wants to sell his controlling 42.7% stake to an overseas company.
The promoters expect the company to be valued at $3 billion (Rs 18,000 crore) against the current market valuation of about Rs 9,500 crore, added report.
Meanwhile, since January 29, the stock has outperformed the market by surging 56% from Rs 102, after the company has reported robust financial numbers for the quarter ended December 2013. The benchmark S&P BSE Sensex has gained 6.2% during the same period.
The company had reported a consolidated net profit of Rs 62 crore in third quarter FY 2014 as against Rs 189 crore loss for the same period last year. The company which earns about 45% of revenue from foreign subsidiaries has been able to improve its result due to reduction of losses in international operations.
