Mukta Arts shares surged 20 per cent and hit upper circuit to close at Rs 102.15 on Tuesday after Subhash Ghai’s production house informed bourses that it is planning to transfer its entire business of cinema division to its newly formed wholly-owned subsidiary Mukta A2 Cinemas. The company will hold a board meeting on September 29 to consider and get approval for slump sale through a business transfer agreement, Mukta Arts informed BSE.
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In a BSE filing Mukta Arts said, “A meeting of the Board of Directors of the company will be held on September 29, 2016 to consider and approve the transfer of entire business of cinema division as a going concern to its newly formed wholly owned subsidiary Mukta A2 Cinemas Ltd.”
In the past one year, shares of the company have risen 166 per cent to Rs 85.15 till September 26, whereas BSE Sensex advanced 10 per cent during the same period.
For the quarter ended June 30, 2016, the company reported a consolidated net loss of Rs 0.05 crore against net loss of Rs 1.43 crore in the corresponding quarter a year ago.
Mukta Arts operates a theater chain under the brand Mukta A2 Cinemas which has 41 screens in India.
