BPCL share rose over 6% today after the firm said it would exit Numaligarh refinery in Assam by selling entire stake to a consortium of Oil India and Engineers India for Rs 9,876 crore. The stock opened with a gain of 4.86% at Rs 477 on BSE. The share touched a 52-week high of Rs 482.4, rising 6.05% against previous close of Rs 454.90.
The large cap share rose 5.8% in last two days. The share has gained 16.24% in one year and risen 25.79% since the beginning of this year. Market cap of the firm rose to Rs 1.03 lakh crore.
The sale of Numaligarh Refinery clears the way for privatisation of India's second-largest fuel retailer.
"The board of directors of BPCL at the meeting held on March 1, 2021, has approved the proposal for sale of entire equity shares of 445.35 crore held by BPCL in NRL to a consortium of OIL and EIL and to Government of Assam," the firm said in a filing to the stock exchanges.
The consortium of OIL and Engineers India is likely to buy 49 per cent and the rest 13.65 per cent will be sold to the Government of Assam. NRL operates a 3 million tonnes per annum oil refinery in Assam. OIL currently holds 26 per cent equity in NRL while the Assam government has around 12.35 per cent stake.