Aditya Birla Capital continues to breach lower circuit, down by 5 per cent

Listed on Friday, September 1, Aditya Birla Capital of the Aditya Birla Group continued to plunge to its lower circuit even on Tuesday. The stock plunged by 5 per cent in the early trade on Tuesday to Rs 214.40 per share.

The stock is continuously breaching fresh lower circuits since its stock market debut. The stock that had got listed on Friday at a price of Rs 250, dropping by 5 per cent to Rs 225.65 in intraday trade on Monday. 

The company’s stock market debut without an IPO was a result of the merger of Aditya Birla Nuvo with Grasim Industries, and a subsequent demerger of the company’s financial services undertaking into Aditya Birla Capital Limited. 

Aditya Birla Capital Limited, an erstwhile Aditya Birla Financial Services, is the holding company of the financial services businesses of the Indian multinational conglomerate. The listing of ABCL is likely to help the company to penetrate into markets for funds, besides providing the company with an access to the cash flows of Grasim Industries.

The company has also been reiterating that the amalgamation will not only create a commanding position for the companies in the cement, financial services, telecom, textiles and chemicals sectors but also increase the shareholder value substantially.