The shares of Vedanta Iron and Steel jumped another 7% on Wednesday, extending a sharp rally that pushed the company's share price 89% higher in less than three weeks since their market debut in June.
Vedanta Iron and Steel shares listed at Rs 20 apiece on NSE on June 15, as the four companies that spun out of Vedanta made their much-awaited market debut, concluding the mega demerger. The company’s market capitalisation at the time of market debut stood at around Rs 7,821 crore.
The shares of the company jumped more than 7% to hit a new record high of Rs 37.84 apiece today. Its market capitalisation currently stands at around Rs 14,797 crore. This implies that the sharp rally since listing has added around Rs 6,976 crore to the company’s market value in just 12 sessions since listing.
Also Read | Vedanta Iron & Steel shares list at Rs 22 on BSE as mega demerger concludes
What’s fuelling the surge in Vedanta Iron & Steel shares?
The sharp rally in Vedanta Iron & Steel shares began after Azim Premji-backed Premji Invest’s PI Opportunities AIF V LLP bought shares worth Rs 102 crore after the stock’s market debut. PI Opportunities AIF V LLP, an investment arm of Premji Invest, which is owned by Indian billionaire businessman and Wipro Chairman Azim Premji, bought nearly 4.84 crore shares worth Rs 101.68 crore at Rs 21.02 apiece through a bulk deal.
Also Read | Vedanta Iron and Steel shares rally as Azim Premji-backed fund buys shares worth Rs 102 crore
About Vedanta Iron & Steel
Vedanta Iron & Steel has operations spanning India and Africa, and is focused on iron ore exploration, mining and processing. It also produces high-quality steel, wire rods, TMT bars, pig iron, ductile iron (DI) pipes, ferro-silicon, cement and metallurgical coke.
The company on Tuesday said that stock exchanges have asked to clarify any reason for the significant price movement seen in the counter. The company’s response was awaited, as seen at the time of writing.
How are the other demerged Vedanta stocks performing?
Vedanta Aluminium Metal shares dropped around 1.5% today, and have declined nearly 11% since listing. Vedanta Oil and Gas shares meanwhile jumped 5% after the firm received ICRA AA+ (Stable) rating.
Vedanta Power shares meanwhile jumped around 2% today.
Also Read | Vedanta Aluminium vs Power vs Oil & Gas vs Iron & Steel | Which stock should you buy?
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