Apar Industries hits record high ahead of board meet for share buyback

The stock rallied 11% to Rs 649 on the NSE

Apar Industries has rallied 11% to Rs 649, also its record high on the National Stock Exchange (NSE) ahead of board meeting on Friday to consider share buyback proposal.

“A meeting of the board of directors of the company is scheduled to be held on January 06, 2017, to consider matters related to buyback of the fully paid-up equity shares of the company including matters related / incidental thereto,” Apar Industries said in a BSE filing on December 23, 2016.

As of September 30, 2016, the promoters held 58.21% stake in the company. Of the remaining 41.79% holding, bodies corporate held 12.73% stake, followed by mutual funds (11.37%), foreign portfolio investors (8.73%) and individual shareholders (7.63%).

Apar Industries had reported 80% year on year growth in its standalone net profit at Rs 91 crore for the first six months (April to September) of the current financial year 2016-17, despite 6% decline in operational income.

The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) margin improved to 8.5% in H1FY17 from 6.73% in H1FY16.

At 11:07 am; the stock was up 8% at Rs 632 as compared to 0.1% rise in the S&P BSE Sensex. A combined 110,875 shares changed hands on the counter on the BSE and NSE.