Reliance Defence and Engineering Ltd shares surged over 4 per cent on Friday after it has signed Sub-Concession Agreement (SCA) with Gujarat Maritime Board and Gujarat Pipavav Port at Gandhinagar, Gujarat. The SCA is for a period of 30 years expiring in June 2046 and the said term of SCA may be further extended.
At 1.10 pm, share price of the company was trading 2.35 per cent up at Rs 65.40. The scrip opened at Rs 64.25 and has touched a high and low of Rs 66.90 and Rs 63.80, respectively, in trade so far. Later, the scrip settled the day 2.03 per cent up at Rs 65.20.
The SCA inter alia grants sub-concession, right and authority to Reliance Defence and Engineering to build, operate and manage Defence / Commercial Shipyard Activities on the terms and conditions mentioned therein.
The promoters holding in the company stood at 29.90 per cent, while Institutions and Non-Institutions held 14.26 per cent and 55.84 per cent respectively
Reliance Defence and Engineering is engaged in defence, offshore, marine and engineering sectors. The company has two units, one special economic zone (SEZ) unit and another export oriented unit (EOU).