Nestle shares up nearly 4% intra-day; end marginally higher

Mumbai: Shares of Nestle India on Wednesday rose by nearly 4 percent in intra-day trade after the company said it will restart the sale of its popular Maggi noodles later this month as government-approved laboratories have found freshly manufactured batches of the product safe for consumption.

The stock climbed 3.92 percent to Rs 6,479 intra-day and finally settled with a marginal gain of 0.21 percent at Rs 6,247.15 on BSE.

Also Read: Maggi has cleared all tests, sales to begin later this month: Nestle India

At NSE, shares of the company went up by 0.53 percent to close at Rs 6,251.15.

Three government-accredited laboratories found the lead content in Maggi noodles below permissible limits, the company said in a statement.

Test results meet the requirements set forth by the Bombay High Court for the Indian unit of the Swiss food giant Nestle SA for restarting sales, it added.

"Now, that the orders of the Bombay High Court have been complied with, we will make our best endeavor to commence the sale of Maggi Noodles Masala within this month as well as continue engaging with states where permissions are needed or specific directions may be necessary," Nestle India said.

The company was in June ordered to withdraw Maggi following a lab in Uttar Pradesh reporting high lead levels.

It challenged the order in Bombay High Court which allowed it to resume sales if tests done at a certified laboratory were found to be acceptable.