Ramco Systems Shares Locked In 20% Upper Circuit After Korean Air Deal
The company will provide its flagship software, Ramco Aviation Suite, to the South Korean airline's engine maintenance centre in Asia.
Shares of Ramco Systems Ltd. were locked in the upper circuit on Wednesday after it signed a multi-million-dollar deal with Korean Air Lines Co. to technologically transform its new engine maintenance complex.
The company will provide its flagship software, Ramco Aviation Suite, to the South Korean airline's engine maintenance centre in Asia to consolidate all maintenance facilities into one cluster, according to a media statement. With this, Korean Air will have nine engine models in total.
Shares of Ramco Systems jumped 20% to hit upper circuit of Rs 340.90 per share, the highest level since Feb. 7. They remained locked in the upper circuit as of 1:08 p.m., compared to 0.26% advance in the NSE Nifty 50.
The stock has gained 51.48% in last 12 months. Total traded volume so far in the day stood at 24 times its 30-day average. The relative strength index was at 69.95.
The one analyst tracking the company maintains a 'buy' rating, according to Bloomberg data. The average 12-month analysts' price target implies an upside of 17.3%.