Vedanta group stocks shine, Sesa up 16%

Led by Sesa Goa, shares of Vedanta group firms surged up to 16 %, amid a media report that the legal hurdle in stake sale of Hindustan Zinc has been cleared.

Following the buzz, Sesa Goa's scrip shot-up by 15.93% to Rs 150.65 on the BSE. Similarly, shares of Hindustan Zinc jumped 13.10 % to Rs 118.75, while Sterlite Industries soared 9.91 % to Rs 83.20.

"There is a buzz that the government is selling stake in Hindustan Zinc through auction mechanism and market expect this to happen at a premium," said Kishor Ostwal, CMD, CNI Research. Another expert, Milan Bavishi, Head Research, Inventure Growth and Securities said,"Corporate action in Sesa Goa attracted buyers."

At present, Sterlite Industries holds 64.92 % stake in Hindustan Zinc, while the government has 29.54 % stake, as per data available with the BSE. Meanwhile, Sesa Goa and Sterlite Industries had on Saturday announced that their merger scheme, together with several other group firms, has now become effective.