Sanghi Inds out of 'CDR'

Sanghi Industries is in good company today. The stock in the early morning trades rose to an intra day high at Rs.66.40, up 5% and closer to its 52-week high of Rs.76.30.

The good news on the counter is that the company has successfully exited from Corporate Debt Restructuing (CDR) mechanism after making repayment of all our dues to the CDR lenders ahead of the schedule.

The company has issued and allotted 25,64,829 No. of secured Non Convertible Debentures (NCDs) of Rs.1,000/- each aggregating Rs.256.5 crore on Private Placement Basis. 

The company has been doing well on the financial front with its net profit for Q3FY16 soaring 276% (YoY) at Rs.27 crore on a muted 5% rise in total income at Rs.258 crore. What really helped boost the bottomline was the reduction in costs, especially coal and lignite prices.