Simplex Projects stock jumps 20% as firm sells 51% stake in arm

Shares of Simplex Projects surged 20 per cent on Friday after the company sold 51.21 per cent stake in its arm Simpark Infrastructure, proceeds of which will be utilised for business purposes.

The stock zoomed 19.96 per cent to Rs 28.85 on BSE.

The company, however, did not give any financial details of the deal.

"The Board of Directors of the company at its meeting held on March 28, 2016, had decided to sell its investment in the wholly-owned subsidiary, Simpark Infrastructure...

Accordingly, 16,31,400 shares (51.21 per cent) have been sold," the company had said in a BSE filing on Thursday.

Simpark Infrastructure is a wholly-owned subsidiary of Simplex Projects.

Earlier, the Board of Directors had resolved that "investment up to 75 per cent only in the wholly-owned subsidiary of the company, Simpark Infrastructure Private, be sold and the sale proceeds be utilised for business purposes."