Embattled Perth company Forge Group has received a much needed boost with investment giant BlackRock buying a 5.3 per cent stake.
The mining services group revealed on Friday that BlackRock, the world's biggest asset manager, was now a substantial shareholder following a mystery spike in its share price between December 20 and 31.
The price rise from 62 cents to $1.74 in that time.
The jump followed a horror day on November 28 when it's shares plummeted 84 per cent after a three week trading halt, amid cashflow and debt problems.
Forge has received two official price queries since Christmas Eve from the share market operator about the spike and trading volumes in its shares.
It responded that it knew of no other reason other than two recent positive announcements: the go-ahead for another component of its largest ever project, worth $830 million at Gina Rinehart's Roy Hill iron ore mine, and $40 million worth of work in North America.
The company's shares dropped 10 cents, or 6.6 per cent, to $1.42 on Friday, still well below the $4.18 they were at at the start of November.
BlackRock's stake is worth $7 million at the current share price.
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