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M and B Switchgears climbs on getting nod to sell stake in its subsidiary

02 Mar 2012 Evaluate

M and B Switchgears is currently trading at Rs. 75.90, up by 0.50 points or 0.66% from its previous closing of Rs. 75.40 on the BSE.

The scrip opened at Rs. 72.50 and has touched a high and low of Rs. 75.90 and Rs. 71.70 respectively. So far 3520 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 390.00 on 24-Oct-2011 and a 52 week low of Rs. 50.00 on 16-Jan-2012.

Last one week high and low of the scrip stood at Rs. 80.10 and Rs. 71.55 respectively. The current market cap of the company is Rs. 147.40 crore.

The promoters holding in the company stood at 70.69% while Institutions and Non-Institutions held 6.69% and 22.62% respectively.

M and B Switchgears has received its board approval to dispose of all the holding in its wholly owned subsidiary through sale / transfer of shares at the fair value as the subsidiary is recently formed and business is not yet started. The company’s board gave the approval for the same at the meeting held on March 01, 2012.

The company is engaged in manufacturing of power transformers, distribution transformers, furnace transformers and special purpose transformers. The company proposes to use the net proceeds of the issue to part-finance its project of setting up a new grid connected 4 MWp solar photovoltaic power plant at Gagorni in Rajgarh district of Madhya Pradesh.

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