Shares of Uttam Galva, a Mumbai-based secondary steelmaker, opened the trading session with 10 per cent upper circuit at Rs 125 on the Bombay Stock Exchange. This zoom is attributed to the decision by the steel maker to divest 5.6 per cent stake to Laxmi Mittal controlled ArcelorMittal Netherlands BV.

The volume of ,more than 3,00,000 shares has been traded so far while around 1.19 million shares are still pending as buy orders. The stock has touched 52-week high today. Meanwhile, ArcelorMittal has been given a choice to increase its holdings in the company at later stage.

Mr Ankit Miglani, Director, Commercial, Uttam Galva, said, "As of now, our intention is to make ArcelorMittal an equal partner. However, the options are open for it
(ArcelorMittal) to raise its stake at a later stage."

Under the agreement signed on Friday a co-promotion deal was signed between two companies according to which the promoters of Uttam Galva, Mr. R. K. Miglani and Associates would divest their 5.6 per cent of 45.6 per cent holding in the company for about Rs 80 crore.