Shares of Star Cement (SCL) surged 11% to Rs 119.95 on the BSE in intraday trade on Thursday on heavy volume. Shares of cement and cement products companies increased to a 52-week high of Rs 124.10 on December 12, 2022.

At 2:08 pm, SCL shares rose 5% to Rs 113.70 as the average trading volume doubled. A total of 3.21 million shares changed hands on the NSE and BSE, representing a 0.79% stake in SCL. In contrast, the S&P BSE Sensex fell 0.01% to 58,209.

SCL produces clinker and cement. In addition to SCL’s 0.8-MMTPA clinker manufacturing unit and 5.00-MMTPA cement grinding unit, at the comprehensive level, the group also owns 0.7-MMTPA cement grinding unit (belonging to Megha Technical and Engineers Private Limited-MTEPL), 2.0-MMTPA A clinker manufacturing unit (under Star Cement Meghalaya Limited-SCML) and a 51-MW captive coal-fired power plant (under Meghalaya Power Limited-MPL).

Last week, rating agency ICRA maintained SCL’s long-term rating at AA- and short-term rating at A1+. The outlook on the long-term rating has been revised to positive from stable.

The outlook revision reflects expected growth in SCL’s operating scale and operating profit, further strengthening its presence in the Northeast (NE) region following significant progress in ongoing capital expenditures.