Coal India Hovers Around 52-week High As Trade Unions Defer Strike Plan

The shares of Coal India hit a fresh 52-week high for the second consecutive trading session. The stock is currently trading with gains of nearly 2% at Rs 307 per share.

On October 11, brokerage firm Nuvama Institutional Equities said that the coal player is offering triple benefits of volume growth, improved e-auction prices and a possible all-time high in H2FY24. It also added that the demand for thermal power is set to rise further in H2FY24.

Earlier today, the company said that the three-day strike call given by five central trade unions this month at all subsidiaries has been deferred. According to a PTI report, five trade unions, including BMS, INTUC, and CITU, had given a call for strike from October 12-14 over the issues pertaining to wage payment.

The exchange release was given after a two-judge bench of Madhya Pradesh High Court at Jabalpur on October 9 ordered a stay on a previous order dated August 29, which had supported a legal challenge by a group of executives to the proposed hike in salaries of non-executive workers.

The trade union's decision to defer the strike comes as a relief for the company which is looking to step up coal production and supply to the power plants to meet the rising demand.