Mazagaon Dock Shipbuilders up almost 9% in trade

New Delhi, July 12 (IANS) Mazagaon Dock Shipbuilders stock was up almost 9 per cent in trade on Wednesday as defence sector stocks are in the limelight in anticipation of orders.

Mazagaon Dock was quoting at Rs 1,730 on BSE, up 8.9 per cent.

In a clarification to BSE on the spurt in its price, the company said that Mazagon Dock Shipbuilders Limited is a Government Company under section 2(45) of the Companies Act, engaged in the construction and repair of warships and submarines for the Ministry of Defence (MoD), Government of India for use by the Indian Navy and other vessels for commercial clients.

MDL being a CPSE under the administrative control of the MoD is required to follow the procedures and guidelines laid down by it.

In view of the sensitive nature of the business operations of MDL, the Company cannot comply with the requirements of certain disclosures as prescribed under the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended ('SEBI LODR Regulations'), it said.

In this connection vide exemption letter dated December 10, 2019 SEBI had granted exemption to MDL with regard to the compliance with the requirements regarding contracts/ documents/ information which are classified as secret and confidential /sensitive by the MoD.

"We further confirm that the Company has not been withholding any information which may have a bearing on the operation/performance of the Company which includes price sensitive information etc," the company said.