The promoters of Sintex “plan” to buy 4.78% and take their stake up to 40%, says MD Amit Patel in a post-earnings conference call.
… (Read On...)Speaking to analysts at a post-earnings conference call on Tuesday, he said the current price of the stock is ‘excellent’ and the promoters, of whom he is one, could increase their stake to 40%.
He did not specify the price at which they will buy or the timeline for the purchases.
The stock closed 0.52% higher at Rs115.70 on Tuesday. At that price, buying 4.78% of Sintex will cost the promoters about Rs151 crore, pegging the market capitalisation of the company at Rs3,160 crore.
Sunil Kanojia, group president, Sintex, said promoters upping their holding in the company reflects the confidence they have in the company. “They are more comfortable with holding 40% and they have been raising their stake,” he noted. At the end of 2009-10, the promoter holding was 30.20%.