Gujarat Gas gains on amalgamation plan
Gujarat Gas Company stock closed Tuesday 6 percent higher on the Bombay Stock Exchange, after it received board approval for a proposed merger with other state-run firms involved in city gas distribution.
After climbing over 14 percent to its intra-day high of Rs.253.35, the company's share closed at Rs.235.50, gaining over 6 percent or 13 points over its previous close Friday.
The board of directors of Gujarat Gas Company has in principle approved its proposed amalgamation with GSPC Distribution Networks (GDNL), GSPC Gas, Gujarat Gas Financial Services (GFSL) and Gujarat Gas Trading Company (GTCL), the company said in a filing to the BSE after market hours Monday.
A subsidiary of GSPC Distribution Networks (GDNL), the Gujarat Gas Company currently supplies around 2.8 million metric standard cubic metre per day (mmscmd) of natural gas to over 4 lakh industrial, commercial and domestic customers and CNG for over 2 lakh vehicles.
(Posted on 25-02-2014)