Sterling up on FCCB plan

DALAL STREET SPIKES

Sterling Biotech made a big spurt for the second time in the last 10 days. The scrip went up about 10 per cent from Rs 149.20 to Rs 163.55 in Friday's trade.

The ride was fuelled by the company's announcement that it has issued $140 million in foreign currency convertible bonds (FCCBs).

Earlier the scrip had moved up 24 per cent in the first two trading days of the month from Rs 124.15 to Rs 154.25. The bonds are convertible into equity shares of the company.

The company had reported more than 50 per cent growth in its net profit for the quarter ended June and net sales jumped up more than 22 per cent. Sterling Biotech which has a market share of around 60 per cent is the largest manufacturer of pharmaceutical gelatin in Asia.