Equity Alert: Eicher Motors up 18% as buyback price at 115% premium

[K.Karthik Raja]

Equity Alert: Eicher Motors up 18% as buyback price at 115% premium
MUMBAI--2:50PM--Eicher Motors was at 379.75 rupees, hitting 18.14%
upper
circuit after the company said promoter Eicher Goodearth Investments
will buy
back 13.12% stake at 691.68 rupees per share, a 115% premium to the
stock's
close Friday.
Eicher Goodearth holds 58.2% stake in the company.
"This is similar to Mastek. The upper limit for the buy back is
very
high. But only 10% stock is being bought back, so it may hit another
circuit
at the maximum, nothing more," said an institutional dealer.
Today, the company also confirmed its joint venture with Volvo AB
for
making commercial vehicles.
So far today, 652,736 shares of Eicher Motors have been traded on
the BSE
and NSE together.
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