Sunflag Iron & Steel is doing well today despite the doom and gloom on the overall market. The stock, which had closed on Friday at Rs.149.80, it opened higher today at Rs.153.85 and rose to hit a new 52-week high at Rs.162.55.
The stock price has been on the uptick ever since it announced hat it has acquired over 10% stake in Lloyds Metals and Energy.
This acquisition is post conversation of Optionally Fully Convertible Debentures (OFDC’s) wherein Sunflag exercised its option of conversion of 60 million 0% OFCD’s issued and allotted by LMEL into 6 crore equity shares of face value of Re 1/each. This a a1:1 conversion ratio.
The company said that it converted and allotted the 6 crore OFCD’s in to 6 crore quity shares, which is 11.89% stake.