Bhushan Steel soars 10% on buzz of acquisition by Vedanta

Bhushan Steel added nearly 10 percent intraday as investors placed positive bets on the buzz of the company being acquired by Vedanta.

Sources told CNBC-TV18 that Vedanta was in talks with lenders to buy the company as it was keen to enter the steel sector. It may compete with JSW Steel.

The dividend from Hindustan Zinc may give the firm any strength needed to acquire Bhushan Steel.

The channel also reported, quoting sources, that lenders were likely to start a competitive bidding process to sell the steel firm.

The stock has gained over 37 percent in the past three months, while its three-day gain stood at 4 percent. At 13:47 hrs, the stock was quoting at Rs 56.75, up Rs 3.95, or 7.48 percent on the BSE. It touched an intraday high of Rs 58.05 and an intraday low of Rs 53.05.