JMT Auto hits 52-week high as Amtek picks 51.3% stake

NEW DELHI: JMT Auto Ltd rallied 5 per cent in morning trade on Friday to hit its 52-week high of Rs 121.95, on reports that Amtek Auto said that it has acquired 51.27 per cent stake in JMT Auto for about Rs 110 crore.

At 11:12 a.m.; JMT Auto was locked in upper circuit at Rs 121.95. It had hit a 52-week high of Rs 121.95. Amtek Auto was up 1.2 per cent to Rs 71.95. It had hit a low of Rs 71.75 and a high of Rs 74.50 in trade today.

JMT has revenues of around Rs 307 crore for the March ended fiscal and is one of the leading auto component manufacturers in the Eastern Indian region.

Arvind Dham's $2-billion Amtek Auto would acquire shares of JMT at Rs 148.70 a share, a 28 per cent premium over the current market price. JMT ended at Rs 116.15 per share at the close of trade at BSE on Thursday.

“The company would fund the entire transaction through internal cash accruals and debt. It would make a mandatory open offer for the 26% stake from the public, following the successful acquisition of the company,” ET reported.

“JMT supplies a wide range of high-quality automotive components through technology-based manufacturing processes,” the report added.