The highest-priced stock on the Indian bourses — Orissa Mineral Development Corporation — crashed five per cent on Monday, after the company deferred a board meeting that was to consider a stock split and bonus issue besides capital-raising plans.
Orissa Mineral plunged Rs 2,810.70 to Rs 53,404.30.
“The meeting of OMDC board scheduled to be held on September 3 is postponed due to some unavoidable circumstances,” the company informed the Bombay Stock Exchange.
Intra-day, the stock hit a high of Rs 58,000 and a low of Rs 53,404.30.
During the 52-week period, it touched a low of Rs 25,550 (June 4) and high of Rs 60,392.25 (August 7).
The stock has been on the rise ever since it announced its bonus plans.
The stock has been one of the star performers of 2012, gaining 52 per cent.
According to Arun Kejriwal, KRIS Securities, the stock went up on expectation of a bonus issue and stock split, which could have helped increase liquidity.
With the company deferring these, even limited selling has resulted in a sharp fall.
The company had plans to the increase its authorised capital from Rs 60 lakh to Rs 25 crore.
Promoters hold 50.01 per cent stake in the company, while LIC holds 15.42 per cent.
The company reported a net profit of Rs 2.8 crore on a revenue of Rs 3.53 crore for the June quarter.