Elcid Investments hits 5% upper circuit today, India’s most expensive stock jumps over 21% in four sessions; check details

The Elcid Investments stock hit the 5% upper circuit limit on the BSE on Monday, November 11, to a record high of ₹2,73,488.85 per share. Between October 29 and November 4 (both days inclusive), the share price has gained as much as 21.5%.

On October 29, Elcid Investments’ share price soared from ₹3.53 apiece to ₹2,36,250 apiece after the BSE organised a special call auction to discover the prices of investment holding companies.

The auction was held after market regulator Securities and Exchange Board of India (Sebi) recently instructed stock exchanges to conduct a special auction session for holding companies trading at steep discounts to address the gap between current market values and book values.

The special session facilitated a fair value discovery for Elcid Investments, resulting in a massive surge in the company's share price. The stock rallied 66,92,535%, surpassing MRF Ltd to become India’s most expensive stock.

“On June 20, 2024, the Securities and Exchange Board of India passed a circular prescribing a framework for the special call auction mechanism. On October 14, 2024, in continuation to the Sebi circular, BSE gave a 14-day prior notice mentioning the companies eligible for this mechanism. On October 28, 2024, the special call auction took place, and the company’s price movement took place.” Elcid Investments informed shareholders in a stock exchange notification.

Elcid Investments was incorporated in 1981 in Mumbai under the provisions of the Companies Act 1956. It is a non-banking finance company (NBFC). As a holding company, Elcid Investments is primarily engaged in investing in asset classes like shares, debentures, and mutual funds. The company has two subsidiaries: Murahar Investments and Trading Co. Ltd and Suptaswar Investments and Trading Co. Ltd.