IL&FS Transportation climbs for fourth session in a row, up 13%

NEW DELHI: Shares of IL&FS Transportation jumped 13 per cent to take its winning streak to fourth session on Monday. The stock rose 12.93 per cent to hit a fresh 52-week high of Rs 105 on BSE.

At this price, the scrip is up 23 per cent in four sessions to Monday.

“ITNL management announced that they intend to offload 3-4 BOT projects, worth Rs 5,000 crore in to an Infrastructure Investment Trust ( InvIT). As per a recent board meeting outcome, ITNL would issue Rs 5,000 crore of NCDs, where current 12 per cent debt cost would be re-financed at sub-10 per cent levels, thereby saving 300 bps on interest expenses level,” said Angel Broking in a note.

“All these initiatives would de-leverage Balance sheet and improve the profitability. ITNL stock has run-up and our earlier price target is attained. In absence of ITNL’s consolidated financials, we downgrade to NEUTRAL view on the stock,” the brokerage said.