Action Construction nears record high on promoters' stake buy

The stock surged 18% to Rs 131, extending 6% gain in past two trading sessions, after promoters of the company increased their holdings through open market.

Action Construction Equipment has surged 18% to Rs 131, extending its 6% rally of the past two trading sessions, after promoters of the company increased their holdings through open market. The trading at its 52-week high, rallied 87% in the past one month from Rs 70. It quoting close to its record high of Rs 134, touched on January 7, 2008 in intra-day trade.

On Wednesday, November 15, 2017, Vijay Agarwal (60,000) and Sorab Agarwal (26,000) had purchased a combined 86,000 shares of Action Construction Equipment through open market, the company said in a regulatory filing.

Post transaction, the combined holding of Vijay Agarwal and Sorab Agarwal, has increased to 41.39% from 41.31%, it added. The promoters held 73.1% stake in the company as on September 30, 2017, the shareholding pattern data shows.

Action Construction Equipment engaged in transport related services business reported more than doubled net profit at Rs 11 crore in September 2017 quarter. It had profit of Rs 4 crore in the same quarter last fiscal.

At 01:49 PM; the stock was up 16% at Rs 129 on the BSE, as compared to unchanged in the S&P BSE Sensex at 33,342 points. The trading volumes on the counter nearly doubled with a combined 4.1 million shares changed hands on the BSE and NSE.