Essar Ports, a company formed through the demerger of erstwhile Essar Shipping Ports & Logistics, today made its debut on the bourses.
On the National Stock Exchange (NSE), the shares opened at Rs90.50, before surging to an intra-day high of Rs128.20 finally ending the day at Rs126.10. On the Bombay Stock Exchange (BSE), it closed the scrip closed at Rs122.10.
On 9 May, Essar Shipping Ports & Logistics Ltd (ESPLL) had announced the completion of the demerger process that it initiated in August 2010. With the demerger two separate entities have been created: Essar Ports Ltd and Essar Shipping Ltd. While Essar Ports listed today, Essar Shipping would list in June 2011, according to a company release.
ESPLL's share capital has undergone a 2:1 split.
Against every three ESPLL shares, shareholders have received two shares of Essar Ports and one share of Essar Shipping.
According to the press release, Essar Ports is now the second largest private sector port company in India with 88 MTPA of current capacity, which is targeted to reach 158 MTPA by 2013.
According to the company it has committed Rs9,300 crore towards ports capacity expansion, of which Rs6,150 crore has already been invested.