Kolkata, October 9th, 2007. Indicating the continuing interest and faith in the fundamentals of the company, cumulative holdings of the Foreign Financial Institutions in Gujarat NRE Coke is steadily increasing.
The holdings of Foreign Institutional Investors (FIIs) in the shares of the Company has gone up from 5% in May/June, 2007 to 24.76% last month on account of market purchases made by them as well as upon conversion of Foreign Currency Convertible Bonds (FCCBs) issued by the Company in 2005 and 2006. Accordingly, the Board of Directors in compliance with the Master Circular issued by RBI has passed a resolution consenting to increase in such limit beyond 24% upto the FDI Sectoral cap applicable to the Company.
The company, the largest merchant producer of met coke in the country and the only listed entity in the segment, is naturally attracting analyst and Institutional interest as with global hardening of coke prices, a buoyant demand and tight freight market conditions. Till date it remains the only Indian company to own and operate Coking coal mines in Australia and is working on a plan to develop the mines to realise their full potential by progressively increasing production to more than 6 million TPA by 2011-12.