At the close of trade today, shares of Lanco Infratech Ltd were up 10.37 per cent at Rs 11.60.
Intra-day, the stock had gained 17.88 per cent to Rs 12.39, after its Australian subsidiary, Griffin Coal, said the protracted litigation for a claim of A$3.5 billion initiated by Perdaman Chemicals against it has been settled.
According to a release issued by Lanco, the Australian coal miner has agreed to pay Perdaman a nominal amount of A$7.5 million, plus legal costs to be taxed by the court, without admission of any of the allegations of Perdaman.
On the NSE, the scrip gained 11.43 per cent at Rs 11.70.
The market capitalisation of the company rose by Rs 263 crore to Rs 2,793 crore.
In terms of volume, 56.26 lakh Lanco Infratech’s shares were traded on BSE, while over 2.74 crore scrips changed hands on NSE.
In the stock market, the BSE benchmark Sensex ended the day at 19,387.50, up 100.78 points.
Legal battle
Lanco is in a legal battle with Australia’s Perdaman Industries, which had filed an A$3.5-billion (around Rs 19,600 crore as per latest exchange rate) lawsuit against Lanco in Australia in 2011, alleging non-compliance with coal supply pact for the company’s upcoming urea plant in Western Australia.
This settlement was reached pursuant to the rules of Supreme Court of Western Australia, which allows for early and cost-effective resolution of such claims, the release said.