Mangalore Chemicals & Fertilizers surged 7.89% to Rs 95.05 at 14:46 IST on BSE, with the stock extending Friday's steep rally triggered by Deepak Fertilisers increasing its open offer price to acquire additional stake in the firm.
Meanwhile, the S&P BSE Sensex was up 29.96 points or 0.11% at 26,656.28.
On BSE, so far 13.21 lakh shares were traded in the counter as against average daily volume of 58,249 shares in the past one quarter.
The stock hit a high of Rs 96.40 so far during the day, which is also a record high for the counter. The stock hit a low of Rs 91.90 so far during the day. The stock had hit a 52-week low of Rs 48.25 on 5 November 2013.
The stock had outperformed the market over the past one month till 26 September 2014, surging 27.4% compared with Sensex's 0.69% rise. The scrip had also outperformed the market in past one quarter, jumping 20.36 % as against Sensex's 6.24% rise.
The small-cap company has equity capital of Rs 118.52 crore. Face value per share is Rs 10.
Shares of Mangalore Chemicals & Fertilizers (MCFL) have rallied 29.4% in two trading sessions from a recent low of Rs 73.45 on 25 September 20, after the company after market hours on 25 September 2014 said that Deepak Fertilisers and Petrochemicals Corporation (DFPCL) has increased its open-offer price to acquire additional stake in the firm The stock had surged by the maximum level of 20% to settle at Rs 88.10.
DFPCL has offered to acquire up to 3.08 crore equity shares, or 26% stake, from the public shareholders of MCFL at Rs 93.60 per shares, an upward revision in open offer price from Rs 63 per share offered earlier. The move comes amid a two-way battle for control between DFPCL on one side and UB group-Zuari Fertilizers and Chemicals combination on the other.
Following the revision in open offer price announced by DFPCL, Zuari chief Saroj Poddar and MCFL promoter Vijay Mallya also revised their open offer to acquire up to 26% stake from MCFL shareholders to Rs 81.60 per share from Rs 68.55 per share offered earlier, in a bid to ward off DFPCL's move. The announcement was made after market hours on 25 September 2014.
Meanwhile, the committee of independent directors (IDC) of MCFL in its recommendation said that the earlier prices offered by SCM Soilfert along with person acting in concert (PAC) in the open offer at Rs 63 per equity share and Zuari Fertilisers and Chemicals along with PACs in the competing offer at Rs 68.55 per equity share are in line with the provisions of the Sebi (substantial acquisition of shares and takeovers) Regulations, 2011 and to that extent, fair and reasonable.
The IDC said that shareholders should independently evaluate the open offer and competing offer, as revised, and take an informed decision in the matter.
Mangalore Chemicals & Fertilizers reported a net loss of Rs 9.76 crore in Q1 June 2014 as against net loss of Rs 12.04 crore in Q1 June 2013. Net sales declined 29% to Rs 430.99 crore in Q1 June 2014 over Q1 June 2013.
Mangalore Chemicals & Fertilizers is a fertilizers manufacturing company. The company with its wide range of products, that include urea, di-ammonium phosphate, muriate of potash, granulated fertilizers, micronutrients, soil conditioners and specialty fertilizers, serves farmers across Southern India.
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