KIOCL shoots up 11 per cent in anticipation of share buyback

Share price of KIOCL marked an 11 per cent intraday gain on Wednesday in anticipation of a potential buyback of shares on September 18, 2018. The decision will be taken on the same day after a meeting of the Board of Directors. The board is considering repurchasing the fully paid-up equity shares of the company of face value Rs. 10 each, as reported by the company in a regulatory filing.

There will be no trading of the shares from September 13, 2018 to September 20, 2018 (both days inclusive). The share price had fallen a drastic 51 per cent in the last 9 months. The stock recovered 16 per cent from its intraday low of Rs. 168 in the early morning trading session.

The stock hit a 52-week low of Rs. 151 on August 1, 2018, suffering a massive decline of 70 per cent from its 52-week high on November 14, 2017. The trading volumes have surged significantly as investors react to the news.

KIOCL Limited is a flagship company under the Ministry of Steel, Government of India. They are engaged in iron-ore mining, filtration technology, and production of superior quality iron-ore pellets. Under the Make In India initiative of the Government of India, the company produced high-grade pellets using high-grade ore obtained from Brazil.

On Wednesday, the shares of KIOCL Ltd. opened at Rs. 174.10 per share and hit a high of Rs. 194.50 per share on the BSE. At 16:00 hours, the stock was trading at Rs. 189.90 per share, up by 8.42 per cent.