Hindustan Zinc shares up as CCEA approves sale of govt's residual stake

Shares of Hindustan Zinc on Tuesday rose almost 7 per cent in morning trade after the Cabinet Committee on Economic Affairs (CCEA) approved the sale of the government's residual stake in HZL.

After making a positive opening, the company's shares further rallied 6.97 per cent to Rs 141.80 -- its 52-week high on the BSE.

At the NSE, the stock was up 6.68 per cent to touch its one-year high of Rs 142.

The CCEA had on Monday approved the sale of the government's residual stake in Hindustan Zinc (HZL), currently valued at about Rs 16,500 crore, ending months of uncertainty on the issue.

The government sold a majority stake in the nation's largest zinc maker to Anil Agarwal-led Vedanta Resources in 2002. It continues to hold a 29.5 per cent stake in the company, which Vedanta sought to acquire.

With a market capitalisation of Rs 56,006 crore, the government's stake in HZL is valued at Rs 16,521.77 crore.