Stocks Radar: Allahabad Bank, Religare Enterprises, Vascon Engineers
Here are the stocks moving this morning.
Indian equity benchmarks recovered from an early slip into negative territory to trade with modest gains.
The S&P BSE Sensex Index rose as much as 05 percent to 33,960, while the NSE Nifty 50 Index rose 0.5 percent to 10,429.35 in the first hour of trade.
The market breadth was tilted in favour of the buyers. Seventeen out of 19 sectoral gauges compiled by BSE rose, led by S&P BSE Metal Index’s 1.3 percent ascent. The S&P BSE Realty Index was the worse of the two that declined, falling by 0.3 percent.
Here Are The Stocks Moving This Morning:
Select Banks Fall On Rotomac Fraud
PSU bank stocks continued to remain under pressure, with the Nifty PSU Bank Index falling as much as 1.1 percent in early trade. Union Bank of India and Allahabad Bank were among the biggest losers, both falling close to 2 percent.
The Central Bureau of Investigation registered a first information report against Rotomac Pens promoter Vikram Kothari and his family in connection with a case relating to the alleged swindling of Rs 3,695 crore of bank loan funds.
The complaint alleged that Rotomac cheated a consortium of seven banks.
Banks involved are:
- Bank of India
- Bank of Baroda
- Bank of Maharstra
- Indian Overseas Bank
- Union Bank of India
- Allahabad Bank
- Oriental Bank of Commerce
(Also Read: CBI To Probe Alleged Rs 3,700 Crore Fraud By Rotomac)
Fortis Healthcare And Religare Hit By Reported SFIO Probe
Shares of Fortis Healthcare Ltd. and Religare Enterprises Ltd. fell by 2.1 percent and 4.7 percent respectively after a report that the Serious Fraud Investigation Office had been ordered to investigate possible siphoning off of cash from the two entities by Malvinder Singh and Shivinder Singh.
Religare had gained in the previous 10 consecutive sessions.
Religare Enterprises subsequently asked the SEBI to remove the Singh brothers as promoters after they stepped down from the board following the, a senior company executive told BloombergQuint requesting anonymity. (Read more on this story here.)
Fortis’ trading volume in the first hour of trade was more than thrice the 20-day trading moving average.
Vascon Engineers Gains After Signing Pact For Construction Project
Shares of the real estate developer extended gains for the second day and rose as much as 3 percent to Rs 40.10.
The company entered into an agreement with school operator Lina Ashar Foundation for the construction of a school in Pune. The school will be built in phases and given to the foundation on a long-term lease.
The recent move in the stock is a reversal in the trend. So far this year, Vascon Engineers has declined over 15 percent, compared with a near 7 percent decline in the BSE’s small-cap index.
JSW Energy: Signs Pact With Maharashtra For Electric Vehicles
Shares of JSW Energy Ltd. rose as much as 2.5 percent to Rs 81, after falling in the previous four consecutive sessions.
The company has signed a memorandum of understanding (MoU) with Maharashtra state for setting up facilities to manufacture electric vehicles and energy storage systems, it informed in an exchange filing.
Trading volume was 1.5 times the 20-day average.