Money on the markets
A maturing market amid the mayhem
Shares in Reliance Communications, India’s number 2 mobile operator, ended 5.3 percent higher at 290.70 rupees after the company said it had repaid early more than $1 billion of loans.
Reliance Comm shares had risen nearly 5 percent yesterday with a traded volume of nearly 4.2 million shares. It remained one of the top traded stocks today. This year the stock has surged nearly 28 percent.
Investor sentiment cemented as the No 2 mobile operator said it had repaid early more than $1 billion of loans and could repay more debt ahead of schedule.
The prepayment of loan would definitely have a positive impact on the profitability of the company as it would reduce the interest component of the outflow by as much as 7.5 billion rupees ($153 million) per year.
The BSE Auto Index closed 1.3 points lower on Wednesday as investors across Asia remained cautious after the overnight slide on Wall Street.
The Auto Index was the top performer yesterday, gaining as much as 2.45 percent in a broader market that shed 115 points.
The BSE Sensex ended 1.6 percent down on Monday but shares in Maytas Infra ended nearly 5 percent higher at 112.80 rupees after the company’s board received a proposal to replace the existing founder of the firm.
The CLB has instructed Maytas’ board to induct ILFS as new promoters and allow them to assume management control through appointment of four directors, including the chairman.
The BSE real estate index jumped 3.8 percent on Friday and emerged as the best sectoral performer of the day as shares of top realty firms rose.
Unitech gained 5.7 percent to end at 99.1 rupees and was the most traded counter on the BSE with volumes of over 31 million shares.
The company which is the world’s No.8 steelmaker by output, posted a consolidated June quarter net loss of 22.39 billion rupees, compared with 39.15 billion rupees profit a year earlier.
Investors in offshore and oilfield services provider, Aban Offshore, have a reason to party tonight – its shares jumped 27 percent to close at 1536 rupees, making it the top gainer on the Bombay stock exchange on Wednesday.
The company said on Tuesday that it expects revenue of $695 million (around 3,400 crore rupees) from two contracts it signed for deploying four rigs. The trading volumes in this counter were high and stood at 3.8 million shares, its highest single day volume since mid-May.
Thirteen of the 15-stock BSE IT index closed in the green, with Aptech leading the pack with a 16.5 percent jump.
The company is in exclusive talks for a stake in South Africa’s MTN, a deal which will create the world’s No. 3 mobile firm. On Thursday, the two firms said they were extending talks till Sept. 30, their second such extension this year.
The UPA government’s deferred divestment programme seems to have had a smooth take-off. State utility NHPC’s IPO was subscribed 23.5 times at close.
From the 463 stocks in the small cap index, around 30 posted double-digit gains, data from Thomson Reuters showed.