CARE Ratings surges on stake buy by CRISIL

CARE Ratings surged 16% to Rs 1,660 after CRISIL buys nearly 9% stake in the company

CARE Ratings (formerly Credit Analysis and Research) surged 16% to Rs 1,660 on BSE in intra-day trade after the rating agency CRISIL has acquired nearly 9% stake in the company through open market.

“Our Company has acquired 2.62 million equity shares of CARE Ratings ('CARE') (8.90% of the total paid up equity share capital of CARE) at a price of Rs 1659.79 per share, on June 29, 2017,” CRISIL said in a BSE filing.

The investment has been made pursuant to the request for quotation dated June 19, 2017 issue by Canara Bank for sale of 8.9% stake in CARE, which is good opportunity to make an investment in the good long term growth prospects of the credit rating sector, it added.

At 9:54 am; the stock of CARE Ratings was up 10% at Rs 1,573 on BSE as compared to 0.70% rise in the S&P BSE Sensex. A combined 2.8 million shares changed hands on the counter on BSE and NSE so far.

CRISIL was up 1% at Rs 1,939 after hitting high of Rs 1,950 in intra-day trade on BSE. Canara Bank up 4% to Rs 339 in intra-day trade was trading 3% higher at Rs 335 on BSE.