Heavy earthmoving equipment maker BEML's shares surged nearly 7 percent on March 28, but cooled off subsequently, after the company announced securing a contract worth Rs 405 crore from the Bengaluru Metro Rail Corporation Limited (BMRCL).
The stock has extended gains for the second consecutive day, after jumping over 17 percent on March 27.
In an exchange filing, BEML announced that it has received the project for design, manufacturing, supply, and commissioning of standard gauge metro cars, as well as training of personnel for up to 15 years under Bengaluru Metro Rail Projects.
The stock hit an intraday high of Rs 3,368 per share, its highest level in over one month, but later pared some gains.
Motilal Oswal Mutual Fund picked up 2.67 lakh shares of BEML at an average price of Rs 3,048.30 per share on March 27, contributing to the rally.
The rally in BEML shares on March 27 was helped by Chhattisgarh government inviting the PSU to set up a state-of-the-art mining equipment manufacturing facility in the state. Chhattisgarh's Chief Minister Vishnu Deo Sai formally extended the invitation to BEML Chairman and Managing Director Shantanu Roy at an investor conference in Bengaluru.
BEML's shares have surged over 31 percent in last one month, significantly recovering from 52-week lows seen on March 3, however, the stock is still significantly below its 52-week high of Rs 5,488 per share.
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