Home / Markets / Stock Markets /  Edible oil company stock zooms 4% after receiving supply order from Reliance, OMCs

BCL Industries stock rallied on Monday after the company bagged an order for a supply of Ethanol to major oil marketing companies (OMCs) like Reliance Industries and others. The supply order totalled to approximately 661 crore. On Dalal Street, BCL shares climbed more than 4% in the early hours as investors give thumbs up to the development. The stock traded near its day's high.

At around 11.04 am, BCL shares traded at 388 apiece up by 10.75 or 2.85% on BSE. The shares climbed by at least 4.17% with an intraday high of 393 apiece. BCL is a smallcap and has a current market valuation of over 937 crore.

In its regulatory filing, BCL Industries stated that the company along with its subsidiary participated in a tender floated by OMCs on October 18, 2022 --- where various molasses and grain-based distilleries were invited for supplying ethanol for the period commencing December 1, 2022, to October 31, 2023.

In the first round of offerings, BCL has been allocated 4.9 crore litres of Ethanol, from its manufacturing unit at Bathinda (Punjab) with an order value of around 285 crore, which is to be supplied to OMCs.

Additionally, the company's distillery unit bagged an order to supply 1.65 crore litres of ethanol to Reliance Industries to the tune of 107 crore.

Furthermore, BCL announced that its subsidiary Svaksha Distillery has been allocated 3.65 crore litres of ethanol from its manufacturing unit at Kharagpur (West Bengal) aggregating to 213 crore -- to be supplied to OMCs. Also, the unit received an order supply of 89 lakh litres of ethanol to RIL amounting to 56 crore.

So far in 2022, BCL shares jumped by over 24% on BSE. In a year, the shares have skyrocketed by nearly 58%.

BCL Industries is one of the leading agro-based industries of North India, with businesses engaged in edible oil, real state, and distillers.

In Q2FY23, the company posted a consolidated net loss of 81.64 lakh compared to a profit of 20.92 crore in Q2FY22. Revenue from operations stood at 452.58 crore in Q2FY23 versus 462.96 crore in Q2 of the previous fiscal.

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