Everonn Education stocks hit one year highs. Here's why

Everonn Education, a digital content player, hit one year highs after the loss making company said its board had decided to allow promoters to convert their loans into equity via a preferential allotment of shares to the owners.

As a consequence, Everonn jumped limit up 20 percent to 32.90 rupees in early deals. The stock cooled off a bit to still quote 14.5 percent higher at 31.45 rupees on the National Stock Exchange, where 31.45 lakh shares were traded compared with a 5-day average of 66,000 shares.

Everonn has slipped from investors' radar after the company reported losses and its revenue slid 16 percent CAGR over 5 years. The company has a market capitalisation of 79 crore rupees, down 25 percent over 1 year. The stock trades at 0.7 times its book value of 49 rupees.

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