Ballarpur Industries shares surge on divestment plan

Shares of Ballarpur Industries gained around 8 per cent in the afternoon trading session after the company informed the BSE last week (July 10) that its board has approved binding offer received for divestment of entire equity stake of 98.08 per cent in its step down subsidiary Sabah Forest Industries Sdn. Bhd, Malaysia.

In a BSE filing, the company said, "The divestment further requires regulatory approvals of the government of Malaysia, satisfactory bankers' due diligence of prospective buyer."

At 2.27 pm, the share price of the company was trading 7.58 per cent higher at Rs 15.61. The scrip opened at Rs 15 and touched a high and low of Rs 15.83 and 14.90 in the trade so far.

The promoters' holding in the company stood at 49.43 per cent while institutions and non-institutions held 31.38 per cent and 19.19 per cent, respectively.

Meanwhile, the BSE Sensex was trading 1.06 per cent higher at 27,955.

The company is engaged in the manufacturing of a wide range of papers such as coated wood free, uncoated wood free, copy paper, packaging, business stationery, industrial grades and speciality and fine paper.

The scrip closed at Rs 15.69.