GMR Inds hits 20% upper limit on re-listing

Shares of GMR Industries, which were re-listed on the Bombay and National Stock Exchange today, were locked at the 20% upper circuit at Rs 206, compared with the previous close of Rs 172 per share.

Shares of the Hyderabad-based company were re-listed post demerger of the Ferro Alloys division into a separate company to focus on the company's core competencies in sugar and related businesses.

On NSE, a total of 31,814 shares worth Rs 65.56 lakh were traded at 1250 hrs. On BSE, only 4,816 shares changed hands, before the stock was locked in the 20% upper circuit.

The board of directors of GMR Industries during their meeting held on 12 August had decided to hive off the Ferro Alloys division to a separate company called GMR Ferro Alloys & Industries. This was done so that the shareholders of the GMR Industries would be holding shares in the new companies as per the entitlement ratio indicated in the scheme of arrangement.

As per the Scheme, every shareholder holding 100 shares in GMR Industries were has ben allotted 62 new shares in GMR Industries (demerged company) and 38 shares in GMR Ferro Alloys in cancellation of their existing 100 shares in GMR Industries.