On a report of a Steel union proposing a public sector undertaking (PSU) by merging the company with three others, shares of Steel Authority of India (SAIL) rose up to 3 per cent in the Friday trading session.
Steel Executives Federation of India (SEFI) was said to have urged steel ministry for the merger of the state-run Rashtriya Ispat Nigam (RINL), Ferro Scrap Nigam (FSNL) and Nagarnar steel plant with SAIL to merge,
According to the report, the steel body highlighted the potential benefits in achieving capacity expansion targets and addressing obstacles of individual firms in resource acquisition, while raising awareness about FSNL disinvestment.
Brokerage firm, Centrum Broking said the report is a ‘big positive’ for SAIL as it will help to fast track expansion at minimum capex and drive future earnings growth leading to value unlocking.
The SAIL stocks traded at Rs 155 with 3.22 per cent gain in the afternoon session on the National Stock Exchange (NSE).
