IFB Industries rose 1.21% to Rs 737.90 at 9:50 IST on BSE after the company said that it has entered into an agreement with IFB Automotive towards acquisition of Global Automotive & Appliances.
The announcement was made after market hours yesterday, 19 July 2017.Meanwhile, the S&P BSE Sensex was up 34.93 points or 0.11% at 31,990.28. The S&P BSE Small-Cap index was up 56.58 points or 0.35% at 16,031.15.
On the BSE, 473 shares were traded in the counter so far as against average daily volume of 10,960 shares in the past one quarter. The stock had hit a high of Rs 737.95 and a low of Rs 729.80 so far during the day. The stock had hit a record high of Rs 791 on 5 July 2017. The stock had hit a 52-week low of Rs 358.40 on 29 September 2016.
The stock had outperformed the market over the past one month till 19 July 2017, gaining 8.99% compared with Sensex's 2.06% rise. The scrip had also outperformed the market in past one quarter, rising 15.85% as against Sensex's 8.93% rise. The scrip had also outperformed the market in past one year, surging 95.47% as against Sensex's 15% rise.
The small-cap company has equity capital of Rs 40.52 crore. Face value per share is Rs 10.
IFB Industries said that it has entered into an agreement with IFB Automotive towards acquisition of Global Automotive & Appliances (GAAL), Singapore and consideration money of Rs 19.99 crore paid to acquire 100% equity capital of GAAL.
The board of directors of IFB Industries on 25 March 2017 had accorded in-principle approval to acquire 100% equity capital of GAAL, Singapore from IFB Automotive Pvt. Ltd., a promoter group company at a consideration of Rs 20 crore.
GAAL has a step down subsidiary in Thailand viz. Thai Automotive & Appliances (TAAL), engaged in fine blanking business. The acquisition is in same field of business and will help company in market entry in South East Asia.
IFB Industries' net profit fell 46.6% to Rs 2.68 crore on 16.5% rise in net sales to Rs 429.17 crore in Q4 March 2017 over Q4 March 2016.
IFB Industries is engaged in the business of manufacturing and trading of home appliances and fine blanking components.
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