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Pricol jumps on plans to acquire auto component maker in Brazil

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Capital Market
Last Updated : Dec 12 2014 | 11:16 PM IST

Pricol jumped 6.78% to Rs 45.65 at 12:20 IST on BSE after the company's board at the meeting held on 11 December 2014 has proposed to acquire 99.99% of stake in a Brazil based auto component manufacturing company.

The announcement was made during trading hours today, 12 December 2014.

Meanwhile, the BSE Sensex was down 56.17 points, or 0.2%, to 27,545.84.

On BSE, so far 1.76 lakh shares were traded in the counter, compared with an average volume of 1.32 lakh shares in the past one quarter.

The stock hit a high of Rs 47.45 and a low of Rs 44 so far during the day. The stock hit a record high of Rs 69.20 on 22 September 2014. The stock hit a 52-week low of Rs 23.50 on 11 December 2013.

The stock had underperformed the market over the past one month till 11 December 2014, falling 16.34% compared with 1.1% decline in the Sensex. The scrip had also underperformed the market in past one quarter, declining 16.34% as against Sensex's 2.25% rise.

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The small-cap auto component maker has an equity capital of Rs 9.45 crore. Face value per share is Re 1.

Pricol said that the board of directors of the company at the meeting held on 11 December 2014 has proposed to acquire 99.99% of stake in a Brazil based auto component manufacturing company through its wholly owned subsidiary incorporated in Spain. The aforesaid company in Brazil achieved sales revenue of Rs 301.10 crore during the calendar year 2013. This acquisition will enable Pricol to make a foray into the Brazilian auto component industry. The aforesaid acquisition is expected to be completed by the end of January 2015.

Pricol's net profit fell 79.6% to Rs 0.73 crore on 12% rise in total income to Rs 247.12 crore in Q2 September 2014 over Q2 September 2013.

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First Published: Dec 12 2014 | 12:04 PM IST

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