Indian shares made a gap up opening after the U.S. Federal Reserve refrained from raising interest rates, removing at least for six weeks an obstacle for equities that rekindled volatility this month.
Here are the stocks in focus for the day:
ICICI Bank: Gains on Prudential IPO
Shares of the private lender gained 3 percent to Rs 277 after ICICI Life Insurance’s Rs 6,075 crore initial public offering received 10.5 times oversubscription. The stock was the best performing one on the Sensex as of 9:40 a.m.
The insurer had earlier raised Rs 1,635 crore by issuing shares to anchor investors at the upper end of the price band. The IPO, opening on September 19, saw slow demand on the first two days giving investors a cause of worry. However, the subscriptions picked up on the third and last day.
Syngene International: Hits 52-Week High
Shares of the research organisation jumped 9.1 percent to Rs 524 after the company closed its deal with Strand Life Sciences to purchase Systems Biology and Pharma Services Practice, the company said in an exchange filing.
Syngene is constantly looking for new opportunities to expand its service offerings and plans to expand into areas such as NGS, translational R&D, predictive toxicology and pre-emptive target validation services, all of which require strong bioinformatics capabilities. We believe Strand’s bioinformatics platforms not only complement our existing integrated service platforms but will also meet our customers growing needs for bioinformatics and data analytic support.Jonathan Hunt, Chief Executive Officer, Syngene International
Mahindra & Mahindra: Recalls Cars on Faulty Fuel Hose
Shares of India’s leading SUV manufacturer gained 1.1 percent to Rs 1,421. On Wednesday, The company recalled all New Generation Scorpios and NuvoSports manufactured till June 2016 for a “proactive inspection” of the fuel hose.
The inspection and subsequent rectification will be carried out free of cost for all New Generation Scorpio and NuvoSport customers, who will be individually contacted by the company.Mahindra & Mahindra Press release
IOC, GAIL: Buy Stake in Adnani’s LNG Project
Shares of the oil and gas companies gained after they signed an agreement to take 49 percent stake in Adani Group’s Rs 6,000 crore Dhamra LNG project in Odisha.
Indian Oil will initially take 39 percent and GAIL another 11 percent equity in Dhamra LNG Terminal and the remaining 50 percent will be with Adani Group.
Additionally, the companies will divest 1 percent stake, each, in the LNG import terminal to a credible financial institution.
- Indian Oil Corportaion (+1.1 percent to Rs 578)
- GAIL (+3 percent to Rs 398)
Union Bank of India: Acquires Two Joint Ventures
Shares of the government-owned lender gained 4.3 percent to Rs 147 after it acquired 49 percent stake in Union KBC Asset Management Company and Union KBC Trustee Company from KBC Participations Renta and its affiliates.
After this acquisition, both the former companies have now become wholly owned subsidiaries of the Union Bank of India, as per the company’s filing.
Bharat Financial Inclusion: President Dilli Raj Resigns
Shares of the finance company rose more than 4 percent to Rs 810 on Thursday morning. The company’s President, Dilli Raj, who was on leave since the last two months, resigned from his position, effective September 21, as per the exchange filing.
MR Rao, the company’s managing director and CEO will continue oversee the decisions, as he did during the absence of Raj.
ABG Shipyard: Proposals Rejected
Shares of the company gained 3.2 percent to Rs 31. Its shareholders rejected a proposal to raise Rs 2,000 crore through issue of securities on Wednesday.
The shareholders also rejected the proposal to issue equity shares worth Rs 300 crore to the company’s promoters and the issue of equity shares to CDR lenders for outstanding loans up to Rs 16,397.5 crore.
IDBI Bank: Sells Stake in NSE
Shares of the state-run bank rose 5.3 percent to Rs 76 after it sold 1.5 percent stake in the National Stock Exchange of India to TIMF Holdings, according to a company filing.
Inox Leisure: Gains on RBI Approval
The entertainment company gained 3.4 percent to Rs 278 after the Reserve Bank of India approved its proposal to raise the foreign investment limit in the company to 49 percent from 24 percent, under the Portfolio Investment Scheme.