The share price of Alok Industries continued its rally for the ninth consecutive day on Wednesday on positive investor sentiments after the company's acquisition proposal by Reliance Industries and JM Financial Asset Reconstruction Company was cleared by the NCLT.
The National Company Law Tribunal (NCLT) had approved the acquisition on March 8 and the stock has been hitting the upper circuit since then.
The upper circuit is hit when shares cross a limit set by market regulator SEBI during trading hour, and it triggers immediate suspension of any further trade in shares of the specified company for rest of the day.
The stocks of the company rose 53.4 per cent over the period of nine days. The share price has also hit the upper circuit since March 8.
On Wednesday, the stock settled at Rs 5.63 on the BSE, higher by 26 paise or 4.84 per cent from the previous close.
Deepak Jasani, Head of Retail Research said: "Alok Industries closed at Rs 5.63, which is the highest since January 2016. The stock price has been rising circuit to circuit since March 8, 2019 when the Ahmedabad Bench of the NCLT gave a conditional approval to the Rs 5,000 crore bid of RIL and JM Financial ARC to acquire the distressed Alok Industries."
--IANS
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