Priyadarshini Cement was locked at 20% upper limit of the circuit-breaker today at Rs 11.55 on the BSE following reports that the promoters have plans to offload their holding in the company.

By 12:35 IST, the scrip of the Andhra Pradesh-based cement company recorded a volume of 5,650 shares. At the time of writing this article, the total outstanding purchases position stood at 3,800 shares.

The rise in the Priyadarshini Cement (PCL) scrip was purely due to the reports that the promoters wish to sell their 50.67% equity stake in the loss-making company. As per the reports, the promoters want to focus on a company called Rain Calcining. IL&FS has been given the mandate to find a strategic investor for PCL.

Meanwhile, PCL has denied any move by the promoters  to sell  their equity stake. The company also clarified that Rain Calcining has no relationship with it except the fact that Jagmohan Reddy, the managing director of Rain Calcining, is a director on  the PCL board with no executive powers.

As regards Gujarat Ambuja Cements, PCL said it continues to be a shareholder. As on 31 March 2003, GACL held a 5.03% equity stake in the company, while the public and institutions held 33.65% and 0.27%  respectively.

For the third quarter ended 31 December 2002, PCL extended it losses to Rs 14.01 crore, compared to a loss of Rs 2.07 crore in the corresponding period of the previous year. Net sales also dropped by 12% to Rs 37.94 crore (Rs 42.98 crore).