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Our Bureau

Mumbai, Aug. 27 Shares of Jindal Photo surged on Wednesday following the board’s approval for voluntary delisting of the company’s shares from the BSE.

The company did not give any reasons for its delisting plan.

The scrip touched an intra-day high of Rs 161.15, which is almost a 20 per cent jump from its previous close. The share price closed at Rs 145.80, 8.56 per cent above its previous close.

Marketmen said they expect the delisting price to be at a considerable premium to the prevailing price.

Traded volumes in the scrip rose, too. On the BSE, a total of 2.25-lakh shares of the scrip were traded, against the two-week daily average trade of 6,109 shares. On the NSE, a total of 2.21-lakh shares were traded.

“Expectation of a good delisting price could continue to push up the share price of the company for the next one month,” said the head of research at a stock broking firm.

The scrip’s combined turnover on the NSE and the BSE amounted to Rs 688.6-lakh during the day.

Companies usually take the delisting route when either the promoters feel that the current market valuations of their company’s stock is much lower than what they should be or if the promoters want to increase their stake in the company, Mr Alex Mathew, Head of Research at Geojit Financial Services, said.

The public shareholding of the company as of June 30 stands at 28.51 per cent and the promoters hold a total of 71.49 per cent stake in the company.

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