Bhushan Steel Gains 40% in Two Days

Bhushan Steel shares have gained over 40 percent in two days of trading. On Monday, Bhushan Steel shares soared nearly 19 per cent to Rs 71.80 in an otherwise weak market.

On Friday, Bhushan Steel had clarified to the stock exchanges that it had received lenders' nod for restructuring the company.

"On 15th December 2014, RBI announced a scheme for long term structuring of loans in line with cash flows. The joint lenders forum have agreed to extend the loans of BSL (Bhushan Steel Ltd)  for a tenure of 25 years under the said scheme.

"However, the respective authorities of the banks have to approve the scheme, which is under process with the respective banks," Bhushan Steel said in a regulatory filing.

At 12:46 pm, Bhushan Steel shares were trading nearly 15 per cent up at Rs 69.20, significantly outperforming the broader Nifty and the Sensex which were down around 0.70 per cent.

This is the second straight session where Bhushan Steel has seen a strong rally. On Friday Bhushan Steel ended nearly 20 per cent up at Rs 60.40, after the company shared the news of lender's nod for restructuring.

Bhushan Steel's net loss for the March quarter was at Rs 361 crore. The loss had widened from Bhushan Steel's  loss of Rs 20 crore during the same period last year.

Bhushan Steel's total income fell 4 per cent to Rs 2,427 crore in the fourth quarter from Rs 2,523 crore during the corresponding quarter.