Vedanta group companies stocks in limelight; Sesa Goa surges 16%

MUMBAI: Led by Sesa Goa, shares of Vedanta group firms today surged up to 16 per cent, amid a media report that the legal hurdle in stake sale of Hindustan Zinc has been cleared.

Following the buzz, Sesa Goa's scrip shot-up by 15.93 per cent to Rs 150.65 on the BSE.

Similarly, shares of Hindustan Zinc jumped 13.10 per cent to Rs 118.75, while Sterlite Industries soared 9.91 per cent to Rs 83.20.

"There is a buzz that the government is selling stake in Hindustan Zinc through auction mechanism and market expect this to happen at a premium," said Kishor Ostwal, CMD, CNI Research.

Another expert, Milan Bavishi, Head Research, Inventure Growth and Securities said,"Corporate action in Sesa Goa attracted buyers."

According to a media report, the government has cleared legal hurdles to the stake sale in Hindustan Zinc.

At present, Sterlite Industries holds 64.92 per cent stake in Hindustan Zinc, while the government has 29.54 per cent stake, as per data available with the BSE.

Meanwhile, Sesa Goa and Sterlite Industries had on Saturday announced that their merger scheme, together with several other group firms, has now become effective.