Modi Rubber zooms 91% in 5 trading days; promoters 'surprised'



  Shares of Modi Rubber (MRL) extended gains for the fifth straight trading session to hit its upper circuit as the stock rallied over 10% to Rs 84, also its fresh 52-week high on BSE.

During the period, the stock of the auto tyres & rubber products manufacturer rallied 91% from Rs 43.80 on March 22, 2017. In comparison, the S&P BSE Sensex was up 1%.

MRL said it holds 3.14 million equity shares of Xerox India, which is an unlisted entity and pursuant to unimplemented part of the Rehabilitation Scheme sanctioned by the Board for Industrial and Financial Reconstruction (BIFR) on 8.4.2008, company is in discussion with Xerox Corporation USA/their associates to buy these shares held by MRL but the deal is yet to be matured and materialized.

The company made a clarification with reference to the surge in price.

We ourselves are surprised at the movement of share price. In this connection, we wish to submit that none of the promoters are involved in buying/selling shares of the company, it added.

Till 11:25 am; around 35,000 shares changed hands against an average 14,000 shares that were traded in past two weeks. There were pending buy orders for 9,975 shares on BSE.