Nelco shares hit a multi-year high of Rs 377.90 after rallying 16 per cent on the BSE in intra-day deals on the back of heavy volumes in an otherwise subdued market. Nelco is a Tata Group Company in which the group company Tata Power Company holds 48.64 per cent stake, as on March 31, 2021.

The stock was trading at its highest level since 1992. It hit a record high of Rs 1,700 on March 24, 1992, the BSE data shows. In the past four weeks, the stock has zoomed 77 per cent, as compared to 1.28 per cent rise in the S&P BSE Sensex.

In the morning, Nelco was trading 14 per cent higher at Rs 371, against 0.24 per cent decline in the benchmark index. The trading volumes on the counter jumped over five-fold with a combined 4.2 million equity shares changing hands on the NSE and BSE.

Nelco, on June 10, 2021, announced that the Company has received on June 9, 2021, the requisite approval from the Department of Telecommunications (DoT) for transfer of the Internet Service Provider license and VSAT license from the amalgamating company i.e. Tatanet Services to the amalgamated company i.e. Nelco under the Scheme.

Accordingly, the Scheme involving the internal restructuring of the various businesses of the Company and its two wholly-owned subsidiaries viz. Tatanet Services Limited (TNSL) and Nelco Network Products Limited (NNPL), have become effective on June 9, 2021. National Company Law Tribunal, Mumbai Bench (“NCLT) had already sanctioned the Scheme in November 2018.