ITI is among the top five gainers on the BSE since the opening bell today. From its close on Friday at Rs.72.80, the stock opened higher at Rs.86.80 and within seconds went on to hit the 20% UC at Rs.87.35, also a new 52-week high.
There is good news from the company – it is very close to inking a deal with Defence Research and Development Organisation (DRDO) to produce portable ventilators, a first of its kind in India, following the Coronavirus or Covid-19 outbreak.
The DRDO is transferring technology to ITI and once it comes up with a final product and after due test procedures, ITI said that it is well poised to fast-track the production and has plans to undertake manufacturing in its Bengaluru facility. It hopes to start delivering these ventilators within 2-3 months once the product prototype is developed but the bug hurdle could be sourcing of components. It will require components locally as well as from other countries which appears to be a cumbersome task during the current lockdown.