Britannia Shares Hit 10-Month High Amid Large Volumes

Britannia shares jumped as much as 20 per cent on Monday amid large volumes. On the Bombay Stock Exchange (BSE), the Britannia shares rose as much as 20.12 per cent to Rs 3,443.90 apiece during the session, before giving up some of those gains. That marked the highest intraday level recorded in Britannia since the shares split in the ratio of 1:2 in November last year. After opening higher at Rs 2,919.00 apiece, Britannia shares were locked in the upper circuit at 20 per cent in afternoon deals, before giving up some of those gains.

At 2:03 pm, Britannia shares traded 7.43 per cent higher at Rs 3,080.00 apiece on the BSE, outperforming the benchmark Sensex index which was up 3.10 per cent amid a rally in the markets backed by buying across most sectors.

Till that time, 1.16 lakh Britannia shares had changed hands on the BSE so far in the session, as against an average of 25,000 in last two weeks.

Britannia shares were among the top contributors to the surge in consumer goods stocks. The Nifty FMCG sectoral index jumped as much as 6.63 per cent on Monday, rallying for a second straight day after the government announced a cut in corporate tax rates. On Friday, the Nifty FMCG index had ended 4.41 per cent higher. 

The S&P BSE Fast Moving Consumer Goods index on the NSE jumped as much as 6.20 per cent on Monday. 

The government last Friday lowered the effective corporate tax to 25.2 per cent (inclusive of all additional levies) from 34.9 per cent. After market hours on the same day, the GST Council slashed the rate on hotel room tariffs but more than doubled the tax on caffeinated beverages.