Comments
CG Power & Industrial Solutions had a mixed February 2019. The power equipment maker’s stock started February at ₹37 levels. For the third quarter of FY19, the company reported that its consolidated net loss had widened to ₹150.2 crore compared with ₹28.2 crore loss a year ago. Revenue from operations rose nearly 12 per cent Y-o-Y to ₹1,720 crore during the December period. The company’s stock crashed 30 per cent after it declared its results.
Towards the end of February came reports that the company’s promoters were in discussions with private equity investors, including KKR. While the company denied these reports, markets cheered the speculation. The promoters hold 34.42 per cent of the share capital of CG Power, but their entire holding is pledged to lenders. The stock rose nearly 12 per cent on Friday. If eventually the private equity investor does come in, the rally may get further legs.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.