Bharat Petroleum plunge 5% amid reports of the company selling 4% of treasury shares
Mar 9, 2021, 16:16 IST
Share prices of the oil marketing companies (OMC) dropped on Tuesday with the scrip of privatisation-bound Bharat Petroleum Corporation Ltd (BPCL) falling over 5 per cent.
At 2.16 p.m., BPCL shares on the BSE were trading at ₹441.05, lower by ₹25.95 or 5.56 per cent from its previous close.
Its shares fell amid reports of the company selling 4 per cent of treasury shares worth ₹3,774 crore in a bulk deal.
Shares of other OMCs also declined on Tuesday with stocks of Indian Oil Corporation Ltd (IOCL) trading 3.67 per cent lower at ₹99.75 per share.
Hindustan Petroleum Corporation's (HPCL) shares were trading at ₹234.60, lower by 3.62 per cent from its previous close.
Further, revenues of OMCs are likely to remain under pressure for some time now as official sources indicated that with fuel price rise becoming an election issue, the Centre would not like to further escalate the matter with more increases in the auto fuel prices required in the wake of firming of prices in the global oil market.
The halt in retail price hikes, at a time when crude oil prices are surging would put immense pressure on the margins of the oil marketing companies, experts said.
The May delivery contract of Brent crude on the Intercontinental Exchange is currently trading above $68 per barrel.
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At 2.16 p.m., BPCL shares on the BSE were trading at ₹441.05, lower by ₹25.95 or 5.56 per cent from its previous close.
Its shares fell amid reports of the company selling 4 per cent of treasury shares worth ₹3,774 crore in a bulk deal.
Shares of other OMCs also declined on Tuesday with stocks of Indian Oil Corporation Ltd (IOCL) trading 3.67 per cent lower at ₹99.75 per share.
Hindustan Petroleum Corporation's (HPCL) shares were trading at ₹234.60, lower by 3.62 per cent from its previous close.
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The halt in retail price hikes, at a time when crude oil prices are surging would put immense pressure on the margins of the oil marketing companies, experts said.
The May delivery contract of Brent crude on the Intercontinental Exchange is currently trading above $68 per barrel.
SEE ALSO:
Auto components maker Craftsman Automation’s ₹150 crore IPO to hit the capital markets next week — price band fixed at ₹1,488–1,490
India is asking the QUAD for money to boost vaccine production and counter China’s moves on the global stage
Elon Musk’s wealth has eroded $60 billion in just two months as Tesla's market cap falls 35%