Gujarat NRE coke, India's largest non-captive metallurgical coke maker, recently got the approval from the shareholders of Zelos, its Australian subsidiary for buying 85 per cent stake in the company.
Zelos has a portfolio of gold, coal, iron ore and base metal projects in Australia and is in advanced talks to buy out an exploration and production (E&P) block spread over 10,000 sq km in the oil-rich Canning basin in North West Australia.
Gujarat NRE is also expected to do better going ahead as coke (finished product) prices are stabilising after falling in the recent past and the prices of coking coal (main raw material) are falling leading to margin improvement.
Its expansion plan to take its total capacity to 1.4 million tonne will be operational by July 2007.
Stock of the week
Pioneer Embroideries shot up by a whopping 67.4 per cent to close at Rs 143.95 after the company announced its plans of raising funds by way of issue of FCCB/ADR/GDR or any other financial instruments convertible into equity shares for future capital expenditure and expansion. Pioneer Embroideries has a 15 per cent share of the embroidered fabrics and laces market, which primarily find application in ladies apparel. Its retail division is operated through its subsidiary, Hakoba Lifestyle, under the brand name Hakoba which has 45 stores spread across 26 cities in various parts of the country. Hakoba plans to expand its presence to a total of 100 stores by the end of the current year, and another 100 stores by the end of 2009. | ||||||||||||||||