Micro Cap Stock Rockets 7% After Bagging Contract From ONGC

Shares of ABS Marine shot up over 7% to hit a new all-time high of ₹397.50.

What Happened: The massive surge comes as the company announced bagging an order from Oil & NaturalGas Corporation (ONGC). The order is for the charter hire of an offshore supply vessel.

“The company has commenced a contract agreement with Oil & Natural Gas Corporation,” the company said in an exchange filing.

The contract is worth around ₹102 crore and is valid for three years. The announcement saw the stock that was trailing in the red shot up sharply. The micro-cap stock has been on a strong bull run, going up over 50% in the last 30 days.

Earlier in May, ABS Marine Services made a blockbuster debut at the bourses, listing at ₹294. This represents a 100% premium over the issue price of ₹147 on the NSE small and medium enterprise platform.

Established in 1992, ABS Marine Services specializes in managing offshore vessels. The company currently operates a fleet of five vessels, including two state-of-the-art offshore vessels that cater to the oil and gas industry. The company currently has a market capitalisation of around ₹1,000 crore.

Price Action: ABS Marine’s share price was up 6.65% to trade at ₹392 in early trade on Thursday.

Read Next: Cement Wars Heat Up As Ultratech Reportedly Back In Talks To Acquire Orient Cement

Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.

Posted In: EquitiesNewsContractsMarketsMoversTrading IdeasABS MarineONGC