Powergrid Shares Rise To Record, Recede After Board Raises Borrowing Limit
The board has also approved to raise up to Rs 16,000 crore in the current financial year through domestic bonds, the filing said.
Shares of Power Grid Corporation of India fell after rising to their highest level since listing on Thursday. The jump came after the company's board approved to raise the borrowing limit for the current fiscal.
The board raised the borrowing limit to Rs 15,000 crore from 12,000 crore for the ongoing financial year in a meeting on Wednesday, according to an exchange filing.
The board of directors has also approved raise funds up to Rs 16,000 crore in the current financial year through domestic bonds, the filing said.
However, both the decisions are now subject to approval of shareholders in the ensuing general meeting, Powergrid said.
Shares of Power Grid Corp. rose 0.78%, the highest level since its listing on Oct. 5, 2007, but erased gains to trade 0.12% lower at Rs 345.65 per share at 10:46 a.m. This compares to a 0.30% decline in the NSE Nifty 50.
The scrip has gained 73.5% in 12 months, and 45.91% year-to-date. Total traded volume so far in the day on NSE stood at 0.30 times its 30-day average. The relative strength index was at 67.63.
Out of 21 analysts tracking the company, 13 maintain a 'buy' rating, and eight suggest 'sell', according to Bloomberg data. The average 12-month analysts' consensus price target implies a downside of 12.1%.
