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REC edges higher after incorporating three project specific SPVs

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Capital Market
Last Updated : Jan 14 2017 | 12:01 AM IST

Rural Electrification Corporation rose 0.8% to Rs 138.05 at 10:40 IST on BSE after the company said that it has incorporated three project specific special purpose vehicles as its wholly owned subsidiary companies.

The announcement was made after market hours yesterday, 12 January 2017.

Meanwhile, the BSE Sensex was down 32.72 points, or 0.12%, to 27,214.44.

On the BSE, 2.2 lakh shares were traded in the counter so far, compared with average daily volume of 4.33 lakh shares in the past one quarter. The stock had hit a high of Rs 139.10 and a low of Rs 136.45 so far during the day. The stock had hit a 52-week high of Rs 140.95 on 24 October 2016. The stock had hit a 52-week low of Rs 76.25 on 24 February 2016.

The stock had outperformed the market over the past 30 days till 12 January 2017, rising 3.59% compared with 2.76% rise in the Sensex. The scrip had also outperformed the market in past one quarter, rising 4.14% as against Sensex's 2.97% decline.

The large-cap company has equity capital of Rs 1974.92 crore. Face value per share is Rs 10.

Rural Electrification Corporation (REC) announced the incorporation of three project specific special purpose vehicles (SPVs) as wholly owned subsidiary companies of REC Transmission Projects Company, which are also wholly owned subsidiary companies of REC.

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The names of the SPVs incorporated are WR-NR Power Transmission, ERSS XXI and Transmission Ghatampur Transmission.

Rural Electrification Corporation's net profit rose 8.2% to Rs 1751.27 crore on 3.1% rise in total income to Rs 6108.55 crore in Q2 September 2016 over Q2 September 2015.

Rural Electrification Corporation (REC), a Navratna Central Public Sector Enterprise under Ministry of Power, provides financial assistance to state electricity boards, state government departments and rural electric co-operatives for rural electrification projects.

The government of India holds 60.64% stake in the company, as per the shareholding pattern as at 30 September 2016.

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First Published: Jan 13 2017 | 10:50 AM IST

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