Mumbai: After soaring to a record high of Rs 552.40, shares of department stores chain owner Shoppers Stop Limited retreated on profit taking, but still ended the day on a positive note.
The stock, which opened more than 6% up at Rs 537 and advanced to Rs 552.40 (Rs 551.90 on NSE) in a flash, dropped down rather swiftly on profit taking. It eventually ended at Rs 513, up 1.2% from previous closing price.
On BSE, the counter clocked a volume of about 1.35 lakh shares in the session, as compared to average daily volume of 88,000 shares. On the National Stock Exchange, the counter recorded a volume of 1.452 million shares in the session.
The stock's rally this morning was on the back of reports that Future Group has acquired HyperCity chain of hypermarkets from Shoppers Stop for Rs 655 crore.
The loss-making outfit of Shoppers Stop was bought by Future Group's flagship arm Future Retail in a deal that had a cash component of Rs 155 crore and shares worth Rs 500 crore. The acquisition is expected to help expand Kishore Biyani's growing supermarket business and consolidate its presence in western India. HyperCity has 19 large outlets spread over about 1.4 million square feet of retail space in cities such as Mumbai, Hyderabad and Bengaluru.
The deal, which is likely to be completed in the next three to five months. Following this deal, Future Retail would now be able to consolidate its position in Western India and complement hypermarket operations under Big Bazaar.
For Shoppers Stop, the deal gives a boost as it would help the company focus on its apparel business, its core area.
The Future Retail stock ended at Rs 537.80, gaining nearly 2%, after having surged to a high of Rs 559 early on in the session.