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Bombay Burmah Share Price Jumps Over 9% After Terminating Agreement with MSTC

Written by: Team Angel OneUpdated on: 18 Nov 2025, 10:14 pm IST
Bombay Burmah ends MSTC pact over failed bidding; share price rises 10.5% to ₹2,036.9 despite 4.4% drop in Q2 FY26 net profit.
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Bombay Burmah Trading Corporation announced on November 18, 2025, that it has terminated its selling agent agreement with MSTC Ltd. The company attributed the decision to unsuccessful online bids that didn’t align with its business strategies. Following the announcement, Bombay Burmah's share price rose 10.5%. 

Agreement Termination of Bombay Burmah and MSTC 

The agreement between Bombay Burmah and MSTC allowed the latter to act as a selling agent for various land and immovable property deals via e-auctions. With effect from November 18, 2025, this arrangement was terminated due to inconsistent bidding outcomes. Notably, the termination was described as having no material operational impact on Bombay Burmah’s business. 

In line with SEBI requirements, Bombay Burmah clarified that MSTC is not a related party, nor does it have any shareholding in the company. This implies the transaction is purely contractual and its termination does not represent any corporate governance concerns. 

Bombay Bumrah Q2FY26 Earnings Results 

Earlier this month, Bombay Burmah released its Q2 FY26 financials, reporting a 4.4% year-on-year decline in net profit to ₹242 crore compared to ₹253 crore in Q2FY25. However, the company's revenue showed a growth of 3.8%, rising from ₹4,760.8 crore to ₹4,942.8 crore over the same period. 

The company’s EBITDA also showed improvement, increasing 29.3% year-on-year to ₹938.6 crore from ₹724 crore, with an enhanced EBITDA margin of 19% versus 15.2% last year. 

Read More: Pro Fin Capital Services Share Price Jumps Over 8% After Getting LOI for Up to 25% Equity Acquisition! 

The Bombay Burmah Trading Share Price Performance 

As of November 18, 2025, at 3:30 PM, The Bombay Burmah Trading share price closed at ₹2,022.70 up by 9.76% from the previous closing price. 

Conclusion 

Bombay Burmah’s termination of its agreement with MSTC marks a strategic adjustment in its property sales process. Despite a dip in profit for Q2 FY26, the market responded positively to the corporate move, reflecting confidence in the company's direction. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Nov 18, 2025, 4:42 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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