Mumbai, Nov 18 (IANS): Shares of Mahindra & Mahindra (M&M) surged over 11 per cent on Wednesday to touch a 52-week high of Rs 709.80 per share.

The stock price rose after the company on Tuesday said it will manufacture its new tractor series 'K2' at its Zaheerabad facility in Telangana. As per the company, 'K2' series will bring incremental investments of Rs 100 crore into the Zaheerabad facility and double employment in the tractor plant by 2024.

"Developed through close collaboration between the engineering teams from Mitsubishi Mahindra Agricultural Machinery of Japan and Mahindra Research Valley, India, the K2 series aims to create a lightweight tractor program for both domestic and international markets," M&M said in a statement on Tuesday.

Analysts say that the move is a positive development for the company and has boosted investor sentiments.

On Wednesday, its shares on the BSE closed at Rs 705.60, higher by Rs 68.55 or 10.76 per cent from its previous close.