44,116 shares changed hands in the counter on BSE by the first few minutes of trade.

But shares of Nahar Spinning Mills (NSML) lost slightly by 0.4% to Rs 257.95. 6,966 shares changed hands in the counter on BSE.

NSML had witnessed a solid surge after the company announced on 24 March 2006 that the group was considering consolidation of textile business. From Rs 198.60 on 23 March, the scrip had surged to Rs 259.20 by 30 March 2006 ahead of the announcement of the details of restructuring. Though Nahar Exports (NEL) had also risen, the rise in the scrip was relatively muted. From Rs 68.95 on 23 March, the scrip had risen to Rs 78.10 by 30 March.

As per the restructuring scheme, the textiles business of NEL will be hived off and transferred to NSML. Ahead of this, NSML will hive off its investment business in favour of a new company Nahar Capital & Financial Services (NCFSL). One fully equity share of Rs 5 each will be issued for every share held in NSML. Simultaneously, the paid-up value of each share of NSML will be reduced to Rs 5 from Rs 10.

55 fully paid up equity share of Rs 5 each of NSML will be issued for every 100 shares held in NEL. Following the allotment of NSML shares to shareholders of NEL, the paid-up value of NEL shares will be reduced to Rs 3.50 per share from Rs 10 per share.

Nahar Spinning Mills manufactures yarn, and cotton and woolen garments. Nahar Exports is into yarn.

For Q3 December 2005, Nahar Spinning reported a 10% growth net profit of Rs 2.44 crore (Rs 2.21 crore). Sales rose 17.6% to Rs 125.61 crore (Rs 106.83 crore).

Nahar Exports’ net profit jumped 99.4% in Q3 December 2005 to Rs 9.35 crore (Rs 4.69 crore). Sales declined 3.4% to Rs 108.35 crore (Rs 112.21 crore).