Kaveri Seed Company rose 3.59% to Rs 1,500.15 at 10:04 IST on BSE on report that Bayer CropScience is planning to buy a minority stake in the company.
Meanwhile, the BSE Sensex was down 63.37 points, or 0.32%, to 19,920.24
On BSE, 11,000 shares were traded in the counter compared with average volume of 2,633 shares in the past one quarter.
The stock hit a high of Rs 1,599 and a low of Rs 1,480 so far during the day. The stock hit a record high of Rs 1,720 on 14 August 2013. The stock hit a 52-week low of Rs 1,005 on 17 October 2012.
The stock had underperformed the market over the past one month till 8 October 2013, sliding 5.68% compared with the Sensex's 3.70% rise. The scrip had also underperformed the market in past one quarter, falling 12.11% as against Sensex's 3.41% rise.
The small-cap company has an equity capital of Rs 13.75 crore. Face value per share is Rs 10.
According to the report, Bayer CropScience, the crop protection and agri-products arm of German company Bayer AG, is in preliminary talks to purchase a minority stake in Hyderabad-based Kaveri Seeds as double-digit growth in hybrid seeds sales make India an attractive and automatic investment choice for global giants.
Bayer, which is increasing its investments in India, may reportedly buy a stake that is less than 26% in Kaveri.
On a consolidated basis, net profit of Kaveri Seed Company rose 60.9% to Rs 161.82 crore on 53.5% rise in net sales to Rs 736.08 crore in Q1 June 2013 over Q1 June 2012.
Kaveri Seed Company makes hybrid seeds. High yielding hybrid crops such as cotton, corn, paddy, bajra and sunflower are the major crops for which the company enjoys a strong leadership position in the seed production and marketing.
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