Sona BLW shares surge over 7% on this exclusive newsbreak

Shares of Sona BLW Ltd. surged as much as 7.5% on Thursday, July 17, after sources in the know told CNBC-TV18 that the company is in advanced talks to supply electric vehicle components to Chinese EV manufacturer BYD.The talks between Sona BLW and BYD are in an advanced stage and have been ongoing for the last few months, sources said.

To cater to these needs, in case a deal fructifies, Sona BLW cold also be setting up a local component manufacturing plant in China and that unit is part of a long-term roadmap for continued collaboration with BYD, according to those sources.

During the fourth quarter of the previous financial year, 35% of Sona BLW’s revenue came from the Electric Vehicle business, with Tesla being a key client.In response to an exchange query, Sona BLW responded saying that it is in discussion with several potential customers in India and globally as part of the ordinary course of business.

“At this stage, there is no material event or information that requires disclosure,” the company said in its filing.

Shares of Sona BLW are trading 6.9% higher on Thursday, extending their gains after the newsbreak at ₹486.55. The stock is still down 18% on a year-to-date basis.