NEW DELHI: JK Paper Ltd rallied over 5 per cent in morning trade on Friday after the company at its meeting of Committee of Directors, decided to sell the 20 per cent shareholding of OJPPL to OHC, one of the joint venture parties.
The company as authorised in this regard certain Directors and Executives of the Company to sign the share purchase agreement and to transfer the relevant shares to OHC, whereby the Company would cease to be a party of the Joint Venture, JK Paper said in a statement.
At 09:40 am; JK Paper was trading 2 per cent higher at Rs 88.10 on NSE. It hit a low of Rs 86 and a high of 88.95 in the first 30-minutes of trade.
JK Paper Ltd had earlier announced with reference to the Joint Venture Agreement with Oji Holdings Corporation, Japan (OHC), Marubeni Corporation, Japan and Oji India Packaging Private Limited (later renamed as Oji JK Packaging Private Limited) (OJPPL) for the purpose of manufacturing and sale of corrugated packaging products by OJPPL and had thereafter subscribed to 125.90 lac Equity Shares of Rs. 10/- each, being 20 per cent shareholding of OJPPL