According to a top Taurus MF official, Starshare picked up 20 lakh shares in a price range of around Rs 45-Rs 50. The stock is currently witnessing hectic activity on the bourses.

On Tuesday, as many as 21.42 lakh shares were traded on the BSE and the stock hit the circuit filter at Rs 64 during the day. The following day, too, the stock attracted the circuit breaker at Rs 71.45. A week ago, the stock was hovering around Rs 42 and has gained almost Rs 30 in just one week.

The current activity in the counter is mainly driven by reports of French cement major Lafarge's attempt to take over Jaiprakash Industries' cement unit.

The stock has strong long-term upside potential, according to the fund official. "We entered in this counter at a very low level. We had anticipated a stock split and the hive off of its loss making cement unit long back. Jaiprakash's cement unit has proved to be a drag on its bottomlines. With the likely sale of this division, the company will emerge strong. The money raised from the sale of this unit may be used to retire a part of Jaiprakash's huge long-term debt of around Rs 950 crore," the official said.

Taurus Starshare holds 14.54 per cent of its net assets in Jaiprakash Industries. Jagsonpal Pharmaceuticals is the distant second with 8.72 per cent of the corpus in it. HFCL is slipped to the third position with 6.56 per cent of the net assets in it. The scheme currently has a total corpus of Rs 88 crore and has 2 lakh investors.