Eveready Inds up almost 4%

Eveready Industries is up almost 4% at Rs.290 levels with an intra day high of Rs.300. Volumes are huge at over 2 lakh shares being traded today morning compared to 72,000 shares over two week average.

The stock is buzzing today as RBI allowed FIIs to invest upto 49% in the company under the Portfolio Investment Scheme. At end of Q1FY16, FIIs held 16.29% stake in the company. Naturally, the stock is up today in anticipation that the stock price could see major upward momentum as FIIs increase their holding in the company.

RBI has stated that the company has passed resolutions at its Board of Directors’ level and a special resolution by the shareholders, agreeing for enhancing the limit for the purchase of its equity shares and convertible debentures by FIIs/RFPIs. The purchases could be made through primary market and stock exchanges.