Hindustan Copper has been the top gainer on the BSE since morning. The stock which had closed yesterday at Rs.66.75, went on to an intra day high at Rs.71.85 while its 52-week high stands at Rs.73.60. Even now it remains firmly in the green, up almost 6% at Rs.70 levels.

Two reasons for this euphoria on Hind Copper counter. Firstly, it posted a set of very strong numbers, mainly on account of higher expenses last quarter which pushed the company into the red. For Q4FY17, it posted a 59% (YoY) rise in revenue at Rs.563 crore and net profit came in at Rs.41 crore v/s Rs.58 lakh. What helped was the costs and other income. Costs were at 99% of total income while last quarter it had exceeded the income earned.  There was also the other income of Rs.49 crore.

The second reason – company has recommended issue of fresh equity shares through Further Public Offer (FPO) or Institutional Placement Programme (IIP) or Qualified Institutional Placement (QIP) or a combination of all to the extent of 9.25 crore equity shares (10% of equity).

Thus the good numbers and anticipation of an FPO has triggered this spurt on the counter today.