Kopran: Volumes surge on sale of division

Parijat Group’s Kopran Limited’s board of directors have approved the sale of consumer care division with effect from 1^st April 2015, along with all its assets and liabilities. However, name of buyer, sale consideration and other details of the transaction are still awaited form the company.

Traders also seem to be adopting a wait-and-watch approach on this counter. Share price, which had seen a good run up in the past 2 weeks, from Rs. 47.95 on 1^st July 2015, has surged nearly 22% in the past 10 trading sessions. Share is now ruling flat at Rs. 61 per share on NSE. Volumes of 5 lakh shares in less than first 60 minutes are however healthy, as 2 week average traded quantity on NSE stands at approximately 7 lakh shares. On BSE too, traded volume of 2.37 lakh shares is close to 2 week average quantity of 2.58 lakh shares.   

Kopran is an integrated pharmaceutical company with interest in APIs, formulation, research and consumer care. Under the consumer care division, it marketed toothpaste, deodorant, face wash and moisturizer under the Sparkle brand. For financial year ended 31^st March 2015, this division reported sale of Rs. 2.5 crore and operating loss of Rs. 2.8 crore, on capital employed of Rs. 7.5 crore.