Shares of Tata Group Agro-chemical stock jumped after another Tata Group company increased its stake via a Block Deal today with 97 Lakh shares exchanging hands.
With a market capitalization of Rs 4,200 crores, the stocks of Rallis India Limited are trading in the green today trading at Rs 217. The scrip witnessed an intra-day high of Rs 230.05 indicating a gain of around 7 percent compared to the previous closing levels of Rs 215.05.
One of the prime causes of stock movements is pertaining to a Block Deal in which Tata Chemicals Limited, one of the Promoters of Rallis India Limited, increased its stake in the company.
The Promoter acquired 97 Lakh equity shares at a price of Rs 215.05 per equity share representing 4.99 percent of the paid-up share capital of Rallis. Tata Chemicals, as per the June 2023 shareholding data, holds a 50.06 percent stake in Rallis India, and, after the aforesaid acquisition, it holds a 55.04 percent stake in the same.
According to the standalone data available for the recent quarters, the company has been able to increase its revenues sequentially from Rs 522 crores during Q4FY22-23 to Rs 782 crores during Q1FY23-24.
Moreover, the after-tax profits, after facing negative numbers (losses) of Rs 69 crores during the quarter ending March 2023, have bounced back and reported a profit of Rs 63 crores during the quarter ending June 2023.
Founded in 1948, Rallis India Limited is involved in the business of manufacturing as well as selling crop protection products, plant growth nutrients, seeds, and other services related to the agriculture industry.
Written by Amit Madnani
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