Shares of steel-to-spinning yarn manufacturer Jai Corp Ltd gained 3% on 27 August after the NCLT approved the merger of promoter company Pet Fibres with Mega Pipes. 

Post this merger, Pet Fibres that hold 2 lakh equity shares, representing a 0.2% stake in Jai Corp, will be transferred to the new entity, Mega Pipes. 

The company has announced that due to the merger, shareholders need to update or transfer their Depository Participant (DP) account details. Specifically, shares that are currently held in Pet Fibre’s DP account with ILFS (Infrastructure Leasing & Financial Services) will be transferred to Mega Pipes’s DP account with MOSL (Motilal Oswal Securities).

Established in 1985, Jai Corp specialises in manufacturing sectors such as steel, plastic processing, and spinning yarn. While the company continues to expand its plastic processing division, it is also diversifying its focus and investments into emerging areas like Special Economic Zones (SEZs), infrastructure development, venture capital, and real estate.

In its quarterly earnings for April-June, the company reported a 4.56% year-on-year increase in revenue from operations, whereas its net profit zoomed by 148% YoY. 

Moreover, the Board of Directors of the company are set to meet on 29 August to consider a potential buyback of shares. 

At 12:10 pm, the shares of Jai Corp were trading 0.745 higher at Rs 389.50 on NSE.

Ready to invest like a pro? Unicorn Signals app equips you with 100+ Free tools and knowledge you need to succeed. Download the Unicorn Signals app and gain access to daily stock lists and insightful market analysis and much more!