HCC gains on board’s nod for restructuring debt, stock up 3%

NEW DELHI: HCC Ltd surged over 3 percent in trade on Monday after the company said its board has approved debt restructuring.

At 12:30 p.m., HCC was trading 3.4 percent higher at Rs 21.15. It has hit a low of Rs 20.60 and a high of Rs 21.35 so far. The stock has moved nearly 20 percent higher since June 2012.

“The board of directors of the company at its meeting held on June 29, 2012, have approved the restructuring of company's debts as per the Corporate Debt Restructuring Letter of Approval (CDR LOA) received pursuant to the restructuring package approved by the CDR Empowered Group at its meeting dated June 25, 2012," HCC said in a filing with the Bombay Stock Exchange.

Rajat Bose of rajatkbose.com advises investors to enter stock if its manages to stay above Rs 21.20 in trade with a possible upside target of Rs 23-24 and place a stop loss just below Rs 20.30 to safeguard investments.