Prism Cement soars; wins bid from Coal India

Prism Cement informed bourses on February 28, 2017 after-market hours that the company has successfully bid for 18,300 tonnes per annum of coal from Southern Eastern Coalfields Ltd., (a subsidiary of coal India Ltd.), in a recently held auction of coal linkages for the cement industry. The company has secured a part fuel requirement for the next five years. This allocation by Coal India has been made at a nominal premium over the floor price.

This along with the earlier coal linkage project of 1,20,000 tonnes per annum, constitutes about 25 per cent of the company's annual fuel requirement.

Reacting to this announcement, the Company’s stock opened gap up at Rs 100.7 (up by 5.6 per cent). In early morning trade stock rose 8.5 per cent to touch day's high of Rs 103.5. The stock is currently trading up by 4.4 per cent, at Rs 99.5.

Prism Cement Limited is an integrated building materials ompany, with a wide product portfolio ranging from cement, ready-mixed concrete, tiles, bath products to kitchens. The company has three divisions, viz., Prism Cement, H & R Johnson (India) and RMC Ready mix (India).