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Nitesh Estates jumps on buzz Goldman Sachs to buy 74% stake in JV

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Capital Market
Last Updated : Mar 06 2015 | 12:01 AM IST

Nitesh Estates hit an upper circuit limit of 20% at Rs 12.58 at 14:20 IST on BSE on report Goldman Sachs is set to invest $300 million in a joint venture company floated by Nitesh Estates.

Meanwhile, the BSE Sensex was up 45.51 points, or 0.15%, to 29,639.24.

On BSE, so far 1.59 lakh shares were traded in the counter, compared with an average volume of 44,133 shares in the past one quarter.

The stock opened with an upward gap of 20% at Rs 12.58 and remained stuck at that level so far.

The stock hit a 52-week high of Rs 18.70 on 9 June 2014. The stock hit a 52-week low of Rs 9.30 on 23 December 2014.

The stock had underperformed the market over the past one month till 3 March 2015, falling 14.23% compared with 2.05% rise in the Sensex. The scrip had also underperformed the market in past one quarter, falling 15.06% as against Sensex's 4.05% rise.

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The small-cap company has an equity capital of Rs 145.83 crore. Face value per share is Rs 10.

According to the media report, Goldman Sachs will hold 74%, leaving Bangalore-based Nitesh Estates with 26% in the JV (joint venture) entity, which will own and operate commercial real estate assets in India. The JV entity will acquire rent-yielding office parks, shopping malls and luxury hotels, the report added.

Clarifying on the media report, Nitesh Estates said during trading hours today, 4 March 2015, that currently it can neither deny nor confirm the news item. The company is in midst of two large transaction and are governed under the non disclosure clause, it added.

On a consolidated basis, Nitesh Estates reported net loss of Rs 5.19 crore in Q3 December 2014 as against net loss of Rs 4.68 crore in Q3 December 2013. Net sales declined 23.48% to Rs 50.20 crore in Q3 December 2014 over Q3 December 2013.

Nitesh Estates is an integrated property development company, with presence across 4 asset classes.

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First Published: Mar 04 2015 | 2:29 PM IST

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