Hindalco Industries is trading 3% higher at Rs 95.90 in morning trades on reports that the company's promoters are planning to increase their stake by converting preferential warrants into equity shares.
“Kumar Mangalam Birla, the chairman of Aditya Birla Group, will invest Rs 2,165 crore by October to raise his stake by 5% to 37% in Hindalco Industries by converting 150 million preferential warrants into equity shares,” the Economic Times report suggests.
The company, India's largest aluminium producer, had issued warrants to Birla in March 2012 with a conversion price of Rs 144.35 a piece, a 54% premium to Wednesday's closing price of Rs 93.35.
The stock opened at Rs 94.35 and hit a high of Rs 96.30 on BSE. A combined around 1.7 million shares change hands on the counter in early morning deals on BSE and NSE.
“Kumar Mangalam Birla, the chairman of Aditya Birla Group, will invest Rs 2,165 crore by October to raise his stake by 5% to 37% in Hindalco Industries by converting 150 million preferential warrants into equity shares,” the Economic Times report suggests.
The company, India's largest aluminium producer, had issued warrants to Birla in March 2012 with a conversion price of Rs 144.35 a piece, a 54% premium to Wednesday's closing price of Rs 93.35.
The stock opened at Rs 94.35 and hit a high of Rs 96.30 on BSE. A combined around 1.7 million shares change hands on the counter in early morning deals on BSE and NSE.
