Orissa Minerals Development Company (OMDC) has soared 17% at Rs 42,500, extending its yesterday’s 20% rally after the state-owned company said that the Steel Ministry has asked the company to look into the issue of bonus shares as per legal requirements.
“Ministry of Steel vide its letter dated July 23, 2012 informed that the ministry has approved the proposals of the merger of Bisra Stone Lime Company (BSLC) with the company and the same is forwarded to the company for initiating necessary action on urgent basis,” OMDC said in a filing.
The Steel Ministry has also asked OMDC to initiate "necessary action on urgent basis" for the proposed merger and "look into the issue of bonus shares as per legal requirements", OMDC said in the filing. It has also obtained environment clearance from the Union Ministry of Environment and Forests (MOEF) on July 24 for its Kolha-Roida iron ore and manganese mines in Odisha.
The stock opened at Rs 37,690 and hit a high of Rs 42,680, has rallied over 40% in past two trading days on the National Stock Exchange. A combined around 7,500 shares have changed hands on the counter in morning deals on both the exchanges.
