On the BSE, the IT index rose 1 percent while the FMCG pack added 0.9 percent. Meanwhile, Realty, Metal, Oil & Gas and Capital Goods indices ended in the red. The Nifty formed a bearish candle on daily scale and continued its weakness for the third consecutive session.
Benchmark indices ended on a flat note on March 16 amid high volatility after selling in the second half erased the early gains. At close, the Sensex was down 31.12 points or 0.06% at 50,363.96, while Nifty settled 19 points or 0.13% lower at 14,910.50 levels. Among sectors, Nifty Bank, PSU Bank and Metal indices shed 0.8-1 percent, while FMCG and IT index added 0.9-1.2 percent each. The BSE Midcap and Smallcap indices ended in the green. On the BSE, IT index rose 1 percent and FMCG Index added 0.9 percent, while Realty, Metal, Oil & Gas and Capital Goods indices ended in the red. The Nifty formed a bearish candle on the daily scale and continued its weakness for the third consecutive session.
Shipping Corporation of India | CMP: Rs 120 | The stock was down over 2 percent after Life Insurance Corporation of India sold 2.01 percent stake in the state-owned Shipping Corporation of India through open market transaction. The life insurance major reduced stake in the company to 8.04 percent from 10.05 percent earlier. SCI’s consolidated net profit fell 55.4 percent to Rs 131.57 crore on a 30.9 percent decline in net sales at Rs 841.23 crore in Q3 FY21 over Q3 FY20.
Tata Communications | CMP: Rs 1,204 | The scrip fell 7 percent as the offer for sale (OFS) of the Government of India’s equity in Tata Communications Ltd (TCL) opened on March 16. The central government would divest 10 percent shares in TCL, along with an “additional 6.12 percent as Green Shoe Option”, said the official Twitter handle of Secretary, Department of Investment and Public Asset Management (DIPAM). The offer for sale would be available only for non-retail investors on March 16. The retail investors would be allowed to bid for the government stake on March 17, which is the second day of the sale. Currently, the government holds 26.12 percent stake in TCL, while 34.8 percent stake is held by Panatone Finvest Ltd, and 14.07 percent is owned by Tata Sons.
AU Small Finance Bank | CMP: Rs 1,229 | The stock added over 3 percent after the company raised Rs 625.50 crore through sale of shares to institutional investors. “The board approved allotment of 50,00,000 equity shares of face value of Rs 10 each to eligible qualified institutional buyers at the issue price of Rs 1,251 per equity share, i.e., at a premium of Rs 1,241 per equity share aggregating to Rs 625,50,00,000,” the company said in a BSE release. The issue was opened on March 9 with a floor price of Rs 1,181.06 and closed on March 15.
Aarti Drugs | CMP: Rs 688.30 | The share price gained over 3 percent as the company said it will consider share buyback on March 19. A meeting of board of directors of the company is scheduled to be held on March 19, 2021, to consider the proposal of buyback of the fully paid-up equity shares of the company including matters related/incidental thereto, the company said in the press release. The share price jumped 183 percent in last 9 months, while rose more than 400 percent in last one year.
Bharat Electronics | CMP: Rs 137.50 | The stock ended in the green on March 16. The Board of Directors of the Company at its meeting held on March 16, 2021 has declared second interim dividend of Rs 1.40 per equity share of Re 1 each fully paid-up (140 percent) for the financial year 2020-21. The record date for the payment of the dividend on equity shares for the financial year 2020-21 would be March 24, 2021.
Sarda Energy | CMP: Rs 417.30 | The stock jumped over 5 percent after the company received environment nod to raise the capacity. The Chhattisgarh Environment Conservation Board, Raipur has granted to the company the “Consent to Operate” the enhanced capacity of its iron ore pellet plant from existing 6,00,000 MTs p.a. to 8,00,000 MTs p.a. with immediate effect. It is one of the lowest cost producers of steel (sponge iron, billets, ingots, TMT bars) and one of the largest manufacturers and exporters of ferro alloys in India. The company also engaged in the business of Steel, Power and Ferro.
Gland Pharma | CMP: Rs 2,665 | The share price gained over 4 percent after the company has entered into an agreement to supply up to 252 million doses of RDIF’s Sputnik V COVID-19 vaccine. This is the first of multiple partnerships being explored by Gland Pharma to leverage its manufacturing capacity and capabilities to support global supply of COVID-19 vaccine, as per the company filing.
IIFL Finance | CMP: Rs 332.25 | The scrip jumped 5 percent after Fitch Ratings affirmed IIFL Finance Ltd’s Long-Term Issuer Default Rating (IDR) at ‘B+’, easing downside risk to the company’s credit profile due to less adverse economic and funding conditions. The ratings agency also removed the rating from Rating Watch Negative (RWN). The outlook is stable. The ratings were placed on RWN in March 2020 and maintained on RWN at the last review in September 2020.
Adani Ports | CMP: Rs 715.50 | The share price ended in the red on March 16. The company received a Letter of Intent (LOI) from the Sri Lankan government to develop and operate the west container terminal (WCT) of Colombo Port in Sri Lanka. “Adani Ports will partner with Sri Lanka’s largest diversified conglomerate John Keells Holdings and with the Sri Lanka Ports Authority (SLPA) as a part of the consortium awarded this mandate,” the company said in a filing to exchanges. Global research firm Citi has a buy on the stock with the target of Rs 935 per share. The preferential issue at Rs 800 per share cements the valuation, reported CNBC-TV18.
Max Healthcare | CMP: Rs 206.10 | The stock added over a percent after the company acquired an additional 42.8 percent stake (1,26,00,000 equity shares) in subsidiary, Saket City Hospitals, for $ 64 million from Kayak Investments Holding. Max Healthcare Institute Limited held 57.2 percent of the equity share capital in Saket City Hospitals Limited, and the remaining 42.8 percent was held by Kayak Investments. “Pursuant to the share purchase transaction, SCHL is a wholly-owned subsidiary of the Company (Max Healthcare) with effect from March 15, 2021,” the company said in an exchange filing.
Sandip Das
