MUMBAI, June 3: Shares of mining giant NMDC today surged over 5 per cent in early trade after the company scheduled a board meeting next week to consider a proposal to buyback company’s shares.
Opening on a positive note, NMDC stock gained 5.26 per cent to Rs 91 on the BSE.
On the NSE, its shares climbed 5.38 per cent to Rs 91.
NMDC yesterday said its Board of Directors will meet next week to consider a proposal to buyback company’s shares.
The state-run firm, however, did not elaborate upon the number of shares it is planning to buyback.
“A meeting of the Board of Directors of the company will be held on June 7, 2016, inter alia, to consider the proposal for buyback of the fully paid-up equity shares of the company of face value of Re 1 each,” it said in a BSE filing.
The government held 80 per cent stake in the country’s largest iron ore miner, as of March 2016.
The development comes amidst the government proposing to put up about 39.64 crore shares through Offer for Sale(OFS) which can fetch an estimated Rs 3,600 crore at the current market price. (PTI)
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