• Source:JND
HighLights
  1. Davangere Sugar stock gained 9.71% after a 52-week low.
  2. Rally driven by rising crude oil and ethanol blending demand.
  3. Mauritius Fund acquired 5 crore shares worth Rs 18 crore.

Davangere Sugar Company Limited shares registered a gain of nearly one per cent in Thursday trading despite a broader flat market, where benchmark indices Sensex and Nifty were constrained by Middle East geopolitical concerns. Reflecting initial market weakness, the stock opened lower to hit a 52-week low of Rs 1.75 before regaining strength on buying support to reach an intraday peak of Rs 1.92—a 9.71 per cent increase from its prior NSE closing price of Rs 1.75.

At the time of writing, the stock was trading at Rs 1.92, maintaining a 9.71 per cent gain, bringing the small-cap firm's market capitalisation above Rs 300 crore.

Stock Market Today

The key domestic equity indices were trading lower in the closing hour. Last seen, Sensex was trading at 
74,652.01, up 0.15 per cent or 112.22 points. Nifty50 was quoted at 23,392.45, down 0.17 per cent or 39.05 points. The decline in the stock market was driven by escalating tension in middle east that keep the crude prices higher. 
 
Also Read: Steel Price Surge 2026: Why Costs Are Rising And How It Impacts Industries, Consumers

What's behind the rally?

Today’s rally in the stock may be driven by rising crude oil costs. Increased Brent crude prices are anticipated to boost the need for ethanol blending. According to a media report, this sector will gain, given its capacity to produce ethanol alongside sugar, diversifying its operations beyond just sugar milling.

Financial results 

  • FY26 Financials: Revenue grew 11.1 per cent to Rs 238.8 crore, with an EBITDA of Rs 50.7 crore (21.2 per cent margin).

  • Q1 FY27 Growth: Revenue increased by 44.2 per cent year-over-year, reaching Rs 34.7 crore.

  • Segment Performance: The distillery segment reported a PBIT of Rs 15.8 crore.

  • Operational Efficiency: The company is demonstrating improved operating leverage, indicating efficient scaling of profitability.

Mauritius Fund buys 5 crore shares

Earlier, the Craft Emerging Market Fund from Mauritius acquired five crore shares of Davangere Sugar Company, an investment valued at more than Rs 18 crore, via a bulk market transaction.

NSE bulk deal records indicate that the fund acquired these shares through two entities—Craft Emerging Market Fund PCC - Citadel Capital Fund and Craft Emerging Market Fund PCC - Elite Capital Fund—each purchasing 2.5 crore shares.

Disclaimer: This story is for informational purposes only. It should ot be considered as investment advice. Please consult a financial advisor before investing.  


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