Bhushan Steel soars 20% on acquisition buzz

NEW DELHI: Shares of Bhushan Steel surged 20 per cent on Monday after ArcelorMittal, the world's largest steel company, joined the bidding for stressed steel assets in the country by expressing interest to acquire Bhushan Steel.

Following the development, the stock advanced 19.93 per cent to Rs 69.80 on BSE. It opened at Rs 65 and touched intra-day high and low of Rs 69.80 and Rs 64.05, respectively.

Top banking sources told ET that LN Mittal-led ArcelorMittal has submitted an expression of interest (EoI) for Bhushan Steel, which has been referred to the National Company Law Tribunal (NCLT) under the Insolvency and Bankruptcy Code.

The promoters held 57.82 per cent stake in the company as of September 2017. For the quarter ended June 30, 2017, the company reported total revenue at Rs 4,176.12 crore while the net loss stood at Rs 1,486.13 crore.

The scrip touched a fresh 52-week high of Rs 102.80 on May 18, 2017 and a 52-week low of Rs 38 on November 17. 2016.