Balasore Alloys to acquire 70% stake Zimbabwe Alloys; stock surges 13%

The stock rallied 13% to Rs 89.90 on BSE on back of heavy volumes

Balasore Alloys moved higher by 13% to Rs 89.90 on BSE after the company announced the acquisition of 70% stake in Zimbabwe Alloys for cash payment of $16.47 million.

“A further payment of $74.26 million to creditors, towards injection of working capital and for a capital expenditure. The payments towards the creditors and members to the company will be paid in a staggered manner”, the company said.

The acquisition will help Balasore Alloys in creating synergies and in expanding its business base to different parts of the world.

“Consequent upon a scheme of arrangement sanctioned by the