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Pipavav Defence zooms on LIC hiking its stake to 5.63% in the company

03 May 2012 Evaluate

Pipavav Defence and Offshore Engineering is currently trading at Rs. 83.00, up by 3.10 points or 3.88% from its previous closing of Rs. 79.90 on the BSE.

The scrip opened at Rs. 81.10 and has touched a high and low of Rs. 83.50 and Rs. 80.80 respectively. So far 3845665 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 92.60 on 13-Sep-2011 and a 52 week low of Rs. 50.65 on 21-Nov-2011.

Last one week high and low of the scrip stood at Rs. 84.95 and Rs. 76.25 respectively. The current market cap of the company is Rs. 5754.23 crore.

The promoters holding in the company stood at 43.34% while Institutions and Non-Institutions held 18.62% and 38.04% respectively.

Life Insurance Corporation (LIC) has hiked its stake in Pipavav Defence and Offshore Engineering to 5.63% with fresh acquisition of shares worth over Rs 171 crore through an open market transaction. The country’s largest life insurer bought 2.15 crore shares of Pipavav at Rs 79.50 apiece, valuing the deal at Rs 171.21 crore.

Following the acquisition, LIC now owns 5.63 crore shares in private shipbuilder Pipavav. Prior to this acquisition, LIC held 3.48 crore shares, or 5.04% stake in Pipavav.

Pipavav Defence and Offshore Engineering Company is engaged in defence, offshore, marine and engineering sectors. The company has two units, one special economic zone (SEZ) unit spread over around 95 hectares of land and another export oriented unit (EOU) spread over around 103.92 hectares of land.

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