Shares of Godrej Industries jumped over 4 on the Bombay Stock Exchange after its arm Godrej Agrovet got Sebi’s approval to raise nearly Rs 1,000-1,200 crore through public listing of stocks.
Cheering the news, shares of the company gained as much as 4.20 per cent to hit an intra-day high of Rs 658.35 apiece on the Bombay Stock Exchange.
In a similar fashion, shares of the company were trading 2.83 per cent higher at Rs 649.30 apiece on the National Stock Exchange.
Meanwhile, the broader benchmark BSE Sensex was trading at 32,049.22, up 167.06 points, or 0.52 per cent, at 12:50 hours.
Following the announcement, shares of bank gained as much as 1.68 per cent to hit intra-day high of Rs 280.70 apiece on the Bombay Stock Exchange.
In a similar fashion, stocks of lender rose 0.33 per cent to Rs 277.40 apiece on the National Stock Exchange.
Meanwhile, the broader benchmark BSE Sensex was trading at 29,195.93, down 225.47 points or 0.77 per cent, at 12:20 hours.
The 30-share barometer index of Bombay Stock Exchange, Sensex closed at 29442.63, up by 496.4 points or by 1.71 per cent, and the NSE Nifty ended at 9087, up by 152.45 points or by 1.71 per cent.
During the day’s trade, Sensex touched intraday high of 29561.93 and intraday low of 29356.05 The NSE Nifty touched intraday high of 9122.75 and intraday low of 9060.5.
The top gainers of the BSE Sensex pack were ICICI Bank Ltd. (Rs. 286.75,+5.99%), Hindustan Unilever Ltd. (Rs. 913.80,+4.54%), Larsen & Toubro Ltd. (Rs. 1557.55,+4.40%), Housing Development Finance Corporation Ltd. (Rs. 1423.10,+3.69%), Sun Pharmaceutical Industries Ltd. (Rs. 708.25,+3.61%), among others.
The top losers of the BSE Sensex pack were Coal India Ltd. (Rs. 295.55,-6.63%), Bharti Airtel Ltd. (Rs. 361.35,-0.95%), Axis Bank Ltd. (Rs. 511.00,-0.88%), GAIL (India) Ltd. (Rs. 376.20,-0.59%), Bajaj Auto Ltd. (Rs. 2860.30,-0.20%), among others.
Among the sectors, CGS and Realty stocks emerged as the major gainers, surging 3.06 per cent and 2.57 per cent respectively. The Market breadth, indicating the overall strength of the market, was strong. On BSE out of total shares traded 3238 , shares advanced were 1780 while 1253 shares declined and 205 were unchanged.
In a rights issue, shares are issued to existing shareholders as per their holding at a pre-determined price and ratio.
The company had filed draft papers with Sebi in January to raise funds through rights issue and the regulator issued its ‘observation’ on March 2, which is necessary for any firm to launch public offer, as per latest update with Sebi.
Going by the draft papers, Mahindra group’s realty firm would issue “equity share for an amount up to Rs 300 crore on a rights basis to the eligible equity shareholders”.
Proceeds from the issue will be primarily used for redemption of non-convertible debentures.
ICICI Securities Ltd is the sole book running lead manager for the offer.
Besides, three firms — Vardhaman Special Steels, Intellect Design Arena and ZenoTech Laboratories — have also sought approval of Securities and Exchange Board of India (Sebi) to raise funds through rights issue.
According to market experts, market stability could be a reason why companies are opting for equity issuance to existing shareholders.
Last year, companies mopped up a total of Rs 1,230 crore via rights issue mode.
“The company has today bought back 3,483 non-convertible debentures,” APSEZ said in a filing to the Bombay Stock Exchange.
The company said it bought back 2,889 NCDs aggregating to Rs 500 crore due to mature on April 28. It also bought back 594 NCDs aggregating to Rs 170 crore due to mature on September 15.
Meanwhile, shares of the company were trading at Rs 298.80 apiece, up 0.69 per cent from the previous close at 12:41 hours on BSE.
Bharat Road Network Ltd, a Srei initiative, said it has filed draft papers with capital markets regulator Sebi to float a public issue, reported PTI.
The initial public offer (IPO) consists of up to 29.30 lakh equity shares of face value of Rs 10 each, the Kolkata- based company said in a statement.
The equity shares will have a face value of Rs 10 and the final price band will be decided in consultation with the book running lead managers.
The company is a road Build-operate-transfer company in India, focused on development, implementation, operation and maintenance of roads, highways projects.
Net proceeds from the issue will be utilised towards advancing of subordinate debt in form of interest free unsecured loan to its subsidiary, STPL, for part financing of the STPL Project among others.
INGA Capital, Investec Capital Services and Srei Capital Markets will manage the IPO.
Further, the global oil prices rose on expectations that the OPEC-member countries will reach a production deal at the end of the month.
Moreover, expectations of improving appetite from China and higher demand from the US market as the dollar pared recent gains, too supported uptrend in nickel prices at futures trade. At the MCX, nickel futures for November 2016 contract is trading at Rs 777.90 per kg, up by 0.24 per cent, after opening at Rs 776, against a previous close of Rs 776. It touched the intra-day high of Rs 785 (at 16:06 hours).
Tracking a rout in the global peers on mounting fears ahead of next week’s US Presidential elections, Indian equity benchmarks saw across-the-board selling led by oil & gas, realty, auto and banking sector stocks during the afternoon session on Wednesday.
At 1:04 hours, the 30-share barometer index of Bombay Stock Exchange, Sensex was at 27,593.37, down by 283.24 points or 1.02 per cent while the NSE Nifty was at 8,535.95, down by 90.3 points or 1.05 per cent.
The domestic market sentiment hit in-line with global markets on mounting anxiety after a new opinion poll showed that Donald Trump slightly ahead of market favourite Hillary Clinton.
Besides, investors remained cautious ahead of US Fed meeting decision on rate hike timing due today, too dampened sentiment at D-Street.
Major show spoilers were Oil And Natural Gas Corporation Ltd. (Rs. 278.70,-3.63%), Tata Motors Ltd. (Rs. 517.20,-2.59%), State Bank of India (Rs. 251.85,-2.53%), Sun Pharmaceutical Industries Ltd. (Rs. 718.75,-2.06%), GAIL (India) Ltd. (Rs. 423.70,-2.01%), among others.
The top gainers of the BSE Sensex pack were Mahindra & Mahindra Ltd. (Rs. 1368.00,+3.44%), Hindustan Unilever Ltd. (Rs. 843.55,+0.99%), NTPC Ltd. (Rs. 156.30,+0.87%), among others.
The market breadth, indicating the overall strength of the market, was weak. On BSE, out of the total 2,912 shares traded, 831 advanced while 1978 shares declined and 103 remained unchanged.
On the global front, Asian markets were red as anxiety heightened ahead of the US Presidential elections on November 8, 2016.
The move comes after markets regulator Sebi, last month, issued a detailed set of guidelines for monitoring of stock brokers’ financial strength as well as detecting any misutilisation of clients’ funds.
“Members are requested to submit the details of all their existing bank and demat accounts in the specified format latest by October 26, 2016,” BSE said in a circular.
Further, details about all new bank and demat accounts would be informed to the exchange within one week of the opening of the account, it added.
Besides, “a facility is being provided by the exchange whereby members can report details of their bank and demat accounts to the exchange, electronically,” the exchange added.
Further, insufficient supplies on restricted physical arrivals from the major cardamom producing regions, too supported the uptrend in the domestic cardamom prices.
At the MCX, cardamom futures for November 2016 contract is trading at Rs 1129 per kg, up by 0.12 per cent, after opening at Rs 1135.10, against a previous close of Rs 1127.60. It touched the intra-day high of Rs 1144 (at 16:52 hours).