ConCor stock hits new 52-week high, ends 8.5% higher: How Cabinet decision on Railway land leasing policy has fuelled the rally
The stock that was trading around Rs 650 apiece levels, however, witnessed a steep surge during the afternoon session around 01:00 PM in the anticipation of Union Cabinet's impending policy announcement on railway land leasing.
ConCor Stock: Divestment-bound Container Corporation of India (ConCor) shares touched a new 52-week high of Rs 766.3 per share on the BSE on Wednesday’s session and closed over 8.5 per cent higher to Rs 726 per share levels on the exchange.
The stock that was trading around Rs 650 apiece levels, however, witnessed a steep surge during the afternoon session around 01:00 PM in the anticipation of Union Cabinet's impending policy announcement on railway land leasing.
The Union Cabinet on Wednesday approved a policy for long-term leasing of railway land for implementing PM Gati Shakti framework, an official press statement said. Under it, long-term leasing of railway land for a period of 35 years would be enabled for setting up cargo terminals.
In the next five years, 300 cargo terminals would be set up on railway land.
After the Union Cabinet meeting Information and Broadcasting Minister Anurag Thakur said that apart from leasing the land for setting up cargo terminals, these land parcels would also be used for setting up social infrastructures like hospitals and schools through public-private partnership mode.
Thakur informed that land would be leased for new stakeholders for up to 35 years at 1.5 per cent of the market value of the land. Existing stakeholders can participate in this scheme through a transparent bidding system, he added.
The government has been trying to divest ConCor since 2019-20. In this regard, the cabinet has also approved the around 31 per cent stake sale in ConCor in November 2019, along with the transfer of management control, however, the delay was mainly due to new land leasing fee policy.
Earlier in May, sources had told Zee Business Special Correspondent Tarun Sharma that the railway land lease percentage issue is set to get resolved as the company is now ready to reduce the land lease percentage to 3 per cent from 6 per cent. It was said that the land lease rate will have an important role to play in Government's Gati Shakti plans.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Power of Compounding: How many years will it take to reach Rs 3 crore corpus if your monthly SIP is Rs 4,000, Rs 5,000, or Rs 6,000
IRCTC Dividend 2024: Railway PSU announces 200% interim dividend - Check record date and other details
Power of Compounding: Salary Rs 25,000 per month; is it possible to create over Rs 2.60 crore corpus; understand it through calculations
Reduce Home Loan EMI vs Reduce Tenure: Rs 75 lakh, 25-year loan; which option can save Rs 25 lakh and 64 months and how? Know here
Top 7 Large and Mid Cap Mutual Funds with Best SIP Returns in 5 Years: No. 1 fund has turned Rs 15,000 monthly SIP investment into Rs 20,54,384; know about others
New Year Pick by Anil Singhvi: This smallcap stock can offer up to 75% return in long term - Check targets
PSU Oil Stocks: Here's what brokerage suggests on these 2 largecap, 1 midcap scrips - Buy, Sell or Hold?
06:17 PM IST