Cimmco Shares Extend Gains, Hit 52-Week High After Porinju Veliyath Buys Stake

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Ace value investor Porinju Veliyath has invested a good amount of money in Cimmco shares which has triggered an extended rally in its shares. Cimmco shares have rallied a whopping 86 per cent ever since Mr Veliyath’s Equity Intelligence India Private Limited on March 23 bought over 2 lakh share or approximately 1 per cent stake in the company according to the data available on the National Stock Exchange.

Mr Veliyath Equity Intelligence India Private Limited had on March 23, 2017 bought 2.12 lakh shares of Cimmco at weighted average price of Rs. 69.95 per share which has triggered a rally in Cimmco shares. Cimmco shares had hit 52-week high of Rs. 114 earlier in the day.

Cimmco deals in business of railway wagons and heavy engineering projects and products and is based out of Bharatpur in Rajasthan. In the December quarter of 2016 Cimmco reported net loss of Rs. 1.19 crore compared with a loss of Rs. 5.87 crore during the same quarter last year. Its revenues during the December quarter stood at Rs. 41.71 crore as against Rs. 20.36 crore year-on-year.