A volatile day for MBL Infra

What a volatile day MBL Infra is having! The stock price, which had closed yesterday at Rs.36.45, opened today at Rs.34.65 – a new 52-week low and a breach of the 5% lower circuit. Suddenly the tide turned, volumes jumped up by a crazy 30 times and the stock breached the 5% upper circuit at Rs.38.25.

There is no “official” word yet but the reason for this turnaround from LC to UC is the news that the company is looking to raise Rs.300 crore through a combination of debt and equity. This fund is being raised to infuse liquidity into some of its new projects and bring in financial closure – the company is currently working on three BOT projects.

The company recently announced that it had received three orders from the National Highways Authority of India under the hybrid annuity model.