Shares of Bharati Shipyard surged as much as 15.5 percent intraday Wednesday as a media report suggested that Edelweiss ARC may infuse liquidity into the company.
"Edelweiss Asset Reconstruction Company is looking to raise up to USD 100 million (Rs 634 crore) for Bharati Shipyard from foreign investors by April in an effort to infuse liquidity into the cash-strapped shipbuilder," a media report said quoting managing director Vijay Kumar.
Edelweiss ARC bought 60 percent of the Rs 7,000 crore worth of outstanding loans from State Bank of India-led consortium of bankers representing Kumar's company in June. It is driving the restructuring process to keep the once-profitable Bharati afloat. However, eleven banks still hold Rs 2,800 crore debt, it added.
At 11:43 hours IST, the stock was quoting at Rs 37.75, up Rs 4.20, or 12.52 percent amid huge volumes on the BSE.
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