Parag Milk Foods gain 3 per cent on further release of pledged shares

Parag Milk Foods, a leading manufacturer and marketer of branded dairy products, announced its further release of pledged shares by the promoters.

The promoters have released 27 lakh equity shares, with reference to the earlier announcements. The promoters have informed the company that they have repaid Rs 58.09 crore and now the outstanding amount is Rs 5.91 crore.

The chairman and promoters of the company are looking to bring down their pledged shares by 20 per cent over the coming quarters. The increase in the promoter stake and reduction in pledged shares reflect optimism, showing the promoter's assurance in the company prospects.

Parag Milk Foods is the second-largest player in the cheese market in India, enjoying a 35 per cent market share after Amul (42 per cent market share).

The stock of Parag Milk Foods opened on Wednesday at Rs 88.70 and gained nearly three per cent and made an intraday high of Rs 91 on BSE.