The scrip of Thomas Cook (India) soared 13 per cent on the BSE on Friday on the back of news of an international travel firm bidding for the parent company in the UK. Thomas Cook ended the day at Rs. 53.60, up by Rs. 6.15 per share.
The upward movement of the scrip was largely on hopes that the parent company will initiate a delisting move. However, when contacted, Thomas Cook (India) would not comment.
Analysts say that the increase in the stock price of the company could also be attributed to the rupee depreciation. “For Thomas Cook, an international travel company, the rupee depreciation may work in its favour and drive earnings upwards. There is a possibility that profitability could also move up by 30-35 percent,” said Mr. Kishor Ostwal, Chairman & Managing Director, CNI Research.
On the BSE, the stock saw a steep upward movement during the day’s trading session. The highest the scrip touched during the day was Rs. 54.35 - a monthly high. The lowest the scrip touched was Rs. 48.40 which was also the day’s opening price.
A total of about 19.59 lakh shares were traded during the day as opposed to a two-week daily average of 0.82 lakh shares.
On the NSE, the scrip ended the day at Rs. 53.50, up by 12.3 percent (Rs. 5.90 per share).