A company founded by Chandrababu Naidu has made significant gains after his party TDP performed well in the Lok Sabha and Andhra assembly elections in India.
The shares of Heritage Foods have zoomed up 55% in the last five days, leading to a rise of Rs.579 crore for Naidu’s wife Nara Bhuvaneshwari, who is a promoter in the company, reports NDTV.
The stock was trading at Rs.424 on 3 June, hours before the election results were announced.
Today, the Heritage Foods share is at Rs.661.25.
Chandrababu Naidu founded Heritage Foods in 1992. The company’s website describes it as “one of the fastest growing public-listed companies in India”. They have two business divisions – dairy and renewable energy.
Currently, Heritage’s milk and milk products have a market presence in Andhra Pradesh, Telangana, Karnataka, Kerala, Tamil Nadu, Maharashtra, Odisha, NCR Delhi, Haryana, Rajasthan, Uttarakhand and Uttar Pradesh.
Nara Bhuvaneshwari is the top shareholder of the company and holds 2,26,11,525 stocks, according to BSE data. Naidu’s son Nara Lokesh also holds 1,00,37,453 shares of Heritage Foods.
After the stock shot up, Lokesh’s net worth also rose by Rs.237.8 crore.
The meteoric rise began soon after the Lok Sabha election results started coming out on 4 June. The TDP won 16 of the 17 seats it contested, and was instrumental in the NDA winning the elections.
The NDA won 293 seats in the 543-member Lok Sabha. The BJP, which enjoyed a handsome majority in the previous two terms, secured only 240 seats, way behind the 272 mark needed to form a government.
