There are about 62.81 shares that changed hands on countering BSE while it has been compared at a period of an average of 2 weeks with about 5.35 lakh shares. Recently the shares of NMDC increased 15% after several lows for about 52 weeks. Records indicate that the value dropped to about Rs 93.60 and returned with a bounce back up to as high as Rs. 108.85, which is a 16% increase from the previous value.
Key Points :
Business Outreach Magazine wants to express that about 62.81 shares faced a change in hands when comparing a two-week average with about 5.35 lakh shares. The script also came across as a demerger. Reports suggest that the company also announced NMDC Steel’ demerger plans and set the record date to be performed on October 28, 2022, Friday.
The company takes to progress to identify shareholders that are present in the demerger company while providing them NMDC Steel shares at a ratio of 1:1. This demerger was being expected by the analysts for quite some time as this update throws a lot of positive approaches for unlocking the value of NMDC’s investment on the steel plan, which stands at about Rs. 21.000 crores.
Some Takeaways :
Surveys show that the Nuvama Institutional Group advises shareholders to take the full opportunity of this sale for unlocking the most value. The new share of the steel plan is likely to come around the second half of the year 2024.
Nuvama said that “Even if the market builds in 50 percent of the steel plant investment, the new shares can list at Rs 36 per share in Q3FY23. This would help unlock the value of minority shareholders,” and also added that “At CMP, the steel plant comes virtually free,”
The iron-ore business valuation to 4 times for the financial year 2024 and considering Rs 36 for each share connected to 3 mt per annum plant of steel churns out a goal of Rs 157.
