Shares of National Aluminium Company Ltd (Nalco) surged nearly 8 per cent intraday on Monday after the company said its board will meet on May 25 to discuss buyback of the government’s 25 per cent stake in the aluminium maker.
The share price of Nalco closed 3.58 per cent up at Rs 41.90. The scrip opened the day at Rs 42.80 and touched a high and low of Rs 43.65 and Rs 41.25, respectively, in trade. Sensex settled 0.28 per cent down at 25,230.36.
The Centre is looking to raise around Rs 3,250 crore by selling 25 per cent stake to Nalco after its plans to sell 10 per cent stake in the firm to raise about Rs 1,300 crore got derailed due to volatile markets, sources said.
In a BSE filing, the company said, “A meeting of the Board of Directors of the company will be held on May 25, 2016, inter alia, to consider the proposal for alteration In Articles of Association of the company and buyback of the fully paid-up equity shares of the company.”
Last month, Nalco declared an interim dividend of 25 per cent amounting to Rs 322.16 crore for 2015-16 and presented a cheque for Rs 260.72 crore to Mines Minister Narendra Singh Tomar as interim dividend on 80.93 per cent stake held by the Government of India.
(With agency inputs)