ABG Ship: Thai push

STOCKS IN THE NEWS

The company has secured orders worth Rs 1,460 crore ($360 million) from Thailand firm Precious Shipping for construction of twelve vessels of approximately 32,000 DWT. Total order book position of the company stands at about Rs 5,560 crore after this order.

The stock has posted a weekly gain of 17 per cent to close at Rs 526.65, before hitting an intra-day all-time high of Rs 559 during the week on BSE.

The combined volume increased more than three folds on BSE and NSE with 13.17 lakh equity shares changing hands last week compared with 3.62 lakh shares traded in the week before.

The company has reported a 24 per cent rise in net profit and 23 per cent in sales income during the quarter ended June 2007. Net profit increased from Rs 26.93 crore to Rs 33.40 crore and sales income from Rs 165.71 crore to Rs 203.34 crore during the quarter.

In May, the company signed an MoU for acquisition of Vipul Shipyard situated adjacent to the company's existing shipyard at Magdalla Port in Gujarat.

This acquisition facilitated expansion of the company's shipbuilding activities at the Magdalla shipyard and would enhance shipbuilding capacity from the present 32 to 40 vessels on modular basis.