Rakesh Jhunjhunwala's firm buys 42.5 lakh shares of Singer India; stock zooms 19%

Shares of Singer India logged major gains for the second consecutive session today after late investor Rakesh Jhunjhunwala's firm RARE Enterprises purchased 42.5 lakh shares at Rs 53.35 per unit via a bulk deal on BSE.

Singer India shares opened with a gain of 8.46 per cent at Rs 75 against the previous close of Rs 69.15 on BSE.

Later, the stock hit an intraday high of Rs 82.50, rising 19.30 per cent on BSE.  Stock of Singer India has gained 59.53 per cent in one year and risen 36.33 per cent since the beginning of this year. Market cap of the firm rose to Rs 441.81 crore on BSE.

Total 42.83 lakh shares of the firm changed hands amounting to a turnover of Rs 33.88 crore.

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The stock hit a 52-week high of Rs 91.50 on October 29, 2021 and a 52-week low of Rs 38.10 on June 20, 2022. Singer India is engaged in the business of trading or manufacturing sewing machines, related accessories and in trading of domestic appliances. In the last quarter, Singer India reported a net profit of Rs 96 lakh, up 243 per cent, against Rs 28 lakh in the corresponding quarter of the previous fiscal. Net sales also grew nearly 50 per cent to Rs 109.53 crore during the same period.

On Tuesday, shares of Singer India were locked in an upper circuit of 20 per cent following a report that investor Jhunjhunwala's firm RARE Enterprises had bought stake in Singer India through bulk deal.

Singer India is said to be the last investment decision of Jhunjhunwala. Jhunjhunwala died on Sunday (August 14).

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Often referred to as the big bull of the Dalal Street, Jhunjhunwala was a stock market trader and chartered accountant. His portfolio comprised 32 stocks with a shareholding of over 1 per cent, according to data from Trendlyne.

He was the son of an income tax officer. Jhunjhunwala entered the stock market during his college days. He was a Chartered Accountant by profession and also graduated from University of Mumbai in commerce stream.

Jhunjhunwala owned stock trading firm Rare Enterprises through which his investments were managed. He owned stocks in individual capacity and also by the name of his wife Rekha Jhunjhunwala.

He was also the chairman of Hungama Media and Aptech, as well as a director of Viceroy Hotels, Concord Biotech, Provogue India, and Geojit Financial Services.His portfolio comprised stocks such as Titan, Star Health and Allied Insurance, Metro Brands, Tata Motors CRISIL, Aptech, Star Health, Metro Brands, NCC and Nazara Technologies among others.

Recently, Jhunjhunwala invested $35 million for a 40 per cent stake in Akasa airline. On August 7, the country's youngest airline Akasa Air formally launched commercial operations. Its maiden flight, QP1101, left Mumbai at 10.05 am for Ahmedabad on August 7 morning.

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