Varun Beverages surges on acquiring 9.80% stake in Lone Cypress Ventures
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Varun Beverages is currently trading at Rs. 1326.20, up by 13.65 points or 1.04% from its previous closing of Rs. 1312.55 on the BSE.
The scrip opened at Rs. 1306.40 and has touched a high and low of Rs. 1328.85 and Rs. 1295.55 respectively. So far 53034 shares were traded on the counter.
The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 1432.05 on 12-Dec-2022 and a 52 week low of Rs. 594.00 on 15-Mar-2022.
Last one week high and low of the scrip stood at Rs. 1378.20 and Rs. 1295.55 respectively. The current market cap of the company is Rs. 85994.99 crore.
The promoters holding in the company stood at 63.90%, while Institutions and Non-Institutions held 29.89% and 6.22% respectively.
Varun Beverages has acquired 9.80% of Equity Share Capital (5.68% on fully diluted basis) of Lone Cypress Ventures, a special purpose vehicle inter-alia engaged to supply solar power to consumers in the state of Uttar Pradesh. The company intends to obtain solar power (generation and supply) from SPV for its facilities located in Sandila, Uttar Pradesh and Kosi, Uttar Pradesh.
Solar power is environment friendly (green energy) with the added advantage of reduction in the power cost of the respective facilities. Accordingly, as per the Electricity Act, 2003, the Company, being captive user, is required to make investment in the SPV. As part of the proposed transaction, the Company, being the captive user, has invested Rs 3.15 crore in the equity shares of the SPV.
Varun Beverages is franchisee of CSDs and NCBs sold under trademarks owned by PepsiCo in India and internationally.
