Meanwhile, the BSE Sensex was up 79.22 points, or 0.33%, to 23,788.37.

On BSE, so far 37,000 shares were traded in the counter, compared with an average volume of 3.35 lakh shares in the past one quarter. The stock hit a high of Rs 82.20 and a low of Rs 81.20 so far during the day. The stock hit a 52-week high of Rs 133.65 on 15 April 2015.. The stock hit a 52-week low of Rs 76.25 on 12 February 2016. The stock had underperformed the market over the past one month till 19 February 2016, sliding 8.50% compared with 3.15% decline in the Sensex. The scrip had also underperformed the market in past one quarter, falling 17.61% as against Sensex's 8.25% fall.

The small-cap company has an equity capital of Rs 45.36 crore. Face value per share is Rs 2.

JK Tyre & Industries said it received an intimation letter dated 19 February 2016 from the Competition Commission of India (CCI) approving the company's application dated 12 October 2015 in relation to the company's proposed acquisition of Cavendish Industries (CIL).

In September 2015, JK Tyre & Industries and JK Asia Pacific Singapore, a wholly-owned subsidiary of JK Tyre, signed a binding term sheet with Kesoram Industries to acquire 100% equity in CIL. CIL houses a tyre business undertaking at Haridwar (Laksar), which manufactures a range of tyres, tubes and flaps.

JK Group agreed for this acquisition at an enterprise value not exceeding Rs 2200 crore, subject to conditions, wherein JK Tyre will hold the largest shareholding block and shall have substantial management control of CIL with an option to place upto 55% with its associates/group companies, JK Tyre & Industries had said earlier.

The acquisition is proposed to be funded, by combination of debt and internal accruals raised by JK Tyre and other JK Group entities. The financial exposure of JK Tyre in the acquisition is expected to be of the order of Rs 450 crore. The acquisition will provide JK Tyre with further impetus towards ready expansion in the truck and bus radials segment where it is a market leader as well as entry into the fast growing 2/3 wheeler tyre market. Accordingly, JK Tyre estimates the transaction to be strategic, revenue accretive and synergistic with its existing tyre business.

On consolidated basis, JK Tyres & Industries' net profit rose 20.5% to Rs 110.64 crore on 12.5% decline in net sales to Rs 1597.74 crore in Q3 December 2015 over Q3 December 2014.

JK Tyre & Industries is a leading tyre manufacturer in India.