Jindal Poly Films is on one wild ride today. Opening 4.5% higher at Rs.1335, the stock went on to hit a new 52-week high at Rs.1444 and profit booking at that level, pushed down the stock into the red; it fell 2.3% to an intraday low at Rs.1248.50. Volumes are up over 3.5-times.
The stock price hit a high after it sold off a 25% stake in its packaging films business to Canadian firm, Brookfield Asset Management.
Brookfield will invest Rs.2000 crore and the deal is expected to be completed by H1FY23.
The company wants to carve out its packaging films business into a wholly owned subsidiary, which generates 85% of its total revenue while continuing to own its non-woven business unit and other corporate assets.