INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Shares of multiplex players jumped up to 7 per cent on Wednesday after the Maharashtra government filed an affidavit at the
Bombay High Court, saying it does not deem it necessary to interfere with the ban on outside food in multiplexes.
The state government
contended that it may create chaos or security issues.
Inox Leisure climbed 7.27 per cent to Rs 241.90 on the BSE
PVR added 4.82 per cent at Rs 1,283.15.
"We believe that the stance by the Maharashtra government is positive for multiplexes and reiterates
the unavailability of allowing outside FB
Also, this would provide a strong reference point to other state governments," IDBI Capital said in a note.
The brokerage has maintained its
buy rating on PVR with a target of Rs 1,406 (based on EV/Ebitda of 13 times FY20 earnings
For Inox Leisure, the brokerage has a target of Rs 300 based on EV/Ebitda of 10 times FY20 earnings.
According to a PTI report, the
affidavit said it does not want to interfere with the restrictions
items or water inside, as per the opinion of the director general of police, carrying own food may create chaos and may lead to security
and sell food and beverages at a price not exceeding the maximum retail price.
