Balaji Amines spurted 17.3% to Rs 520.10 at 11:05 IST on BSE after net profit rose 34.2% to Rs 29.16 crore on 16.9% rise in net sales to Rs 201.19 crore in Q2 September 2017 over Q2 September 2016.
The result was announced after market hours yesterday, 30 October 2017. The stock had jumped 8.37% to Rs 443.40 yesterday, 30 October 2017, ahead of the results.Meanwhile, the S&P BSE Sensex was down 66.14 points, or 0.2% to 33,208.94. The S&P BSE Small-Cap index was up 39.60 points or 0.23% at 17,559.35, outperforming the Sensex.
High volumes were witnessed on the counter. On the BSE, 1.48 lakh shares were traded in the counter so far, compared with average daily volumes of 9,026 shares in the past one quarter. The stock had hit a high of Rs 532.05 so far during the day, which is also a record high. The stock had hit a low of Rs 465.20 so far during the day. The stock had hit a 52-week low of Rs 271.10 on 11 August 2017.
The small-cap company has equity capital of Rs 6.48 crore. Face value per share is Rs 2.
Separately, Balaji Amines said after market hours yesterday, 30 October 2017, that its board of directors approved investment in Balaji Speciality Chemicals. Balaji Speciality Chemicals is into manufacturing of specialty chemicals.
Balaji Specialty Chemicals is proposing to set up a plant for manufacture of ethylene diamine (EDA), piperazine and diethyleneteramine (DETA) speciality chemical.
The acquisition will help Balaji Amines to expand its product portfolio and target domestic and export markets. The company shall acquire upto 55% stake in Balaji Specialty Chemicals in one or more trenches. Balaji Amines will acquire 2.2 crore shares of the face value of Rs 10 each at premium of Rs 20 per share aggregating to Rs 66 crore in tranches. After completing the acquisition, the target company will become its subsidiary company and will enable the company to exercise management control.
The investment shall be made as and when required by the Balaji Specialty Chemicals for project. However the same shall be completed on or before 31 March 2018.
Balaji Speciality Chemicals was incorporated in the year 2010 in India. The company is setting up manufacturing facilities at Maharashtra Industrial development Corporation (MIDC) layout at Chincholi, Solapur, Maharashtra.
The target company shall be engaged in the manufacture of ethylene diamine (EDA), piperazine and diethyleneteramine (DETA). The company has in place all necessary approvals for beginning operations. The target company is targeting commercial operations during the FY 2018-19.
Balaji Amines makes methylamines, ethylamines, derivatives of specialty chemicals and natural products.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
