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Piramal Enterprises rallies 12% in two days; stock hits 52-week high

The Mumbai bench of the NCLT has approved the Piramal Group's resolution plan for DHFL

Piramal Enterprises | Buzzing stocks | Markets

SI Reporter  |  Mumbai 

Piramal Enterprises
Photo: Shutterstock

Shares of were trading higher for the second straight day, up 7 per cent at Rs 2,053.70 on the BSE in intra-day trade on Monday. According to a Business Standard report, the Mumbai bench of the National Company Law Tribunal (NCLT) has approved the Piramal Group’s resolution plan for Dewan Housing Finance Limited (DHFL). The order is subject to the outcome of the appeal in the appellate tribunal and the Supreme Court.

The stock hit a 52-week high and surpassed its previous high of Rs 2,008.20, touched on March 3, 2021. In the past two days, the stock has rallied 12 per cent on the BSE.

has diversified business interests in financial Services and pharmaceuticals. In Financial Services, the company offers a wide range of financial products and solutions, with exposure across both wholesale and retail financing. The wholesale lending business provides financing to real estate developers, as well as corporate clients in non-real estate sectors.

Within retail lending, the company offers housing loans to individual customers and is building a multi-product retail lending platform. India Resurgence Fund (IndiaRF), the distressed asset investing platform in partnership with Bain Capital Credit, invests in equity and/or debt across non-real estate sectors. The company has long-standing partnerships with leading institutional investors that include - CPPIB, APG, Bain Capital Credit, CDPQ, and Ivanhoé Cambridge. PEL also has equity investments in the Shriram Group, a leading financial conglomerate in India.

According to the Business Standard report, Piramal’s plan offers to pay Rs 37,250 crore, with upfront cash of Rs 12,700 crore; it has already been approved by the committee of creditors (CoC), the Reserve Bank of India (RBI), and the Competition Commission of India (CCI).

NCLT has asked the committee of creditors to allocate more funds to the fixed deposit holders and small investors, but has left the final decision to the CoC. It has also rejected the erstwhile promoter's plea to get a copy of the resolution plan, the report suggested. CLICK HERE FOR FULL REPORT

At 01:35 pm, the stock was up 4 per cent at Rs 1,998 on the BSE, as compared to 0.34 per cent rise in the S&P BSE Sensex. The trading volumes on the counter jumped over three-fold with a combined around 2.6 million shares have changed hands on the NSE and BSE, so far.

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First Published: Mon, June 07 2021. 13:43 IST