Mill stocks hit the roof

The Supreme Court judgment on allowing the sale and development of Mumbai's mill land sent realty and textile stocks soaring today in an otherwise ranged market.

The Bombay Dyeing scrip was frozen at the 20 per cent upper circuit filter to close at Rs 472.90 on the Bombay Stock Exchange after 3.44 million shares were traded on the bourse as well as on the National Stock Exchange.

Morarjee Realities hit an intra-day high of Rs 521.30 before closing at Rs 499.95, a 15 per cent jump over yesterday's close on the BSE after 1.14 million shares were traded.

Indiabulls Financial Services, which has bought Jupiter Mills and Elphinston Mills, was up by 11 per cent to Rs 224.30. It reported a combined traded volume of 14.9 million shares on both exchanges. Century Textiles was up by 8 per cent to Rs 421.65 on the BSE with 11.3 million shares changing hands.

Among other mill stocks, Ruby Mills was up by 10 per cent (Rs 25) to close at Rs 275.10. Dawn Mills rose by Rs 211.25 to Rs 4,436.75, Victoria Mills by Rs 106.75 to Rs 2241.95, Swan Mills by Rs 32.20 to Rs 676.90, Shree Ram Mills by Rs 29.30 to close at Rs 616 and Simplex Mills by Rs 8.25 to Rs 173.45. All these stocks rose by 5 per cent.

Deepak Jasani, head (retail research), HDFC Securities, said: "The Supreme Court judgment will help the textile companies in realising the value of their surplus land. The uptrend may last for a couple of days. Beyond that the market will analyse the actual benefits. There could be one reason for a further upside."