Sensex, Nifty Clock Best Gains In Over Two Weeks

Indian equity benchmarks rose the most since Oct. 12 led by a rally in ICICI Bank after it swung to profitability in September quarter.

The S&P BSE Sensex surged 718 points or 2.15 percent to 34,067 and the NSE Nifty 50 Index jumped 2.2 percent or 221 to 10,251.

ICICI Bank shares surged 10.7 percent, the most in over a year, to Rs 349.40 as lower provisioning for bad loans and higher interest income helped it swing to profitability in September quarter. The bank alone contributed over 200 points towards gain in the Sensex.

All sector gauges compiled by the National Stock Exchange ended higher led by the Nifty PSU Bank Index’s 8 percent surge. Pharma, Realty and Private Banking gauges on the National Stock Exchange also witnessed strong gains and rose between 2.5-5 percent.

Mid- and small-cap shares witnessed buying as the Nifty Midcap 100 Index rose 3 percent and the Nifty Smallcap 100 Index climbed 2.5 percent.

• Indian equity benchmarks extended gains led by rally in banking and pharma shares.

Shares of the oral care products maker struggled after it reported September quarter earnings.

Key earnings highlights:

• Net profit at Rs 196.3 crore versus Rs 177.5 crore (YoY)
• Revenue up 7.7 percent at Rs 1168 crore versus Rs 1084.8 crore (YoY)
• Sales volume at 7 percent
• Ebitda up 9.6 percent at Rs 329.5 crore versus Rs 300.6 crore (YoY)
• Margin at 28.2 percent versus 27.7 percent (YoY)

Shares of the sugar manufacturers surged as much as 12 percent after the Indian Sugar Manufacturers Association (ISMA) cut India's sugar manufacturing output estimate to 32 million tonnes from 35.5 million tonnes.

• ISMA sees sugar stockpile at 11.2-12.7 million tonnes by September 2019

Shares of the PSU bank rallied most since Finance Minister Arun Jaitley announced bank recapitalisation plan last year on the back of successful resolution of Essar Steel insolvency case and Supreme Court’s order to revive ultra-mega power projects

The gauge of PSU banks — Nifty PSU Bank Index surged as much as 8.28 percent led by gains in Canara Bank, Oriental Bank of Commerce, Union Bank and Indian Bank.

Shares of the country's second largest telecom service provider fell 1 percent to Rs 294.80 after Bloomberg reported that the company was delaying its planned IPO.

Bharti Airtel is delaying a planned initial public offering of its Africa unit due to the turmoil in emerging-market stocks, people with knowledge of the matter told Bloomberg.

The company, which was originally aiming to list the unit in London by March, has pushed back the share sale by about half a year, according to the people. It plans to seek an enterprise value of about $8 billion for the Africa business, the people said, asking not to be identified because the information is private.

Shares of the Mumbai-based power producer held on to gains and rose 15 percent to Rs 79.35 after its announced September quarter earnings.

Key earnings highlights:

• Net profit at Rs 335.7 crore versus Rs 178.2 crore (YoY)
• Revenue at Rs 7332.6 crore versus Rs 6873.7 crore (YoY)
• Ebitda at Rs 1723.9 crore versus Rs 1807.1 crore (YoY)
• Margin at 23.5 percent versus 26.3 percent (YoY)

Shares of the Mumbai-based power producer held on to gains and rose 15 percent to Rs 79.35 after its announced September quarter earnings.

Key earnings highlights:

• Net profit at Rs 335.7 crore versus Rs 178.2 crore (YoY)
• Revenue at Rs 7332.6 crore versus Rs 6873.7 crore (YoY)
• Ebitda at Rs 1723.9 crore versus Rs 1807.1 crore (YoY)
• Margin at 23.5 percent versus 26.3 percent (YoY)

Shares of Century Textiles & Industries rose as much as 6.5 percent to Rs 821.30. The company's profit jumped nearly 200 percent during the July-September period, according to its stock exchange notification.

Key earnings highlights (Q2, YoY):

• Net profit up 196 percent at Rs 156.5 crore.
• Revenue up 14.7 percent at Rs 2,089 crore.
• Ebitda up 31.9 percent at Rs 377.4 crore.
• Margin at 18..1 percent versus 15.7 percent.

Key highlights from the conversation:

• It is a very positive development.
• Projects were always based on imported coal because of coal shortage.
• Plants can't perpetually run on loss.
• They will have to close one fine day.
• If they do close, states will have to make up for the deficit by buying from market or buying bilaterally.
• The volatility of power pricing is going up.
• The flaw is in the design of contract.
• Power Companies Won't Take Risk On Commodity prices For 25 Years.
• Committee has recommended a cap on pricing to safegaurd consumers.
• Committee report has been very rationale.
• If consumers are not gaining they will not agree to it.
• The way demand is growing, no rationale man will say shut down the plants as long as you can get power at the marginal cost.

Shares of the PVC Pipes maker rose as much as 10.6 percent, the most in over two months to Rs 111.80 apiece after its profit surged during the July-September period.

Key earnings highlights (Q2, YoY):

• Net profit at Rs 130 crore versus Rs 71 crore.
• Revenue at Rs 950.43 crore versus Rs 648 crore.

Shares of the organic intermediates and monomers manufacturers rose as much as 9.8 percent, the most in over two months to trade at Rs 1,439, its highest since Sept. 04. The stock is poised for its longest winning streak in two months.

Key earnings highlights (Q2, YoY):

• Revenue up 57 percent at Rs 253 crore.
• Net profit up 123 percent at Rs 65 crore.
• Ebitda up 107 percent at Rs 95 crore.
• Margin at 37.7 percent versus 28.6 percent
• Other income up 113 percent at Rs 11 crore versus Rs 5 crore.
• Lower cost of material, lower finance cost and higher other income aided financials.

Shares of power companies rallied after the Supreme Court asked the regulator to decide on amending power purchase agreements in three imported coal-based power plants of Adani Power, Tata Power and Essar Power, according to a Bloomberg report.

Nifty Bank’s 25,000 strike price call option contract was among the most active option contracts on the National Stock Exchange.

Premium on the contract 13.5 percent to Rs 68.70. Over 2.44 lakh shares were added to the open interest which stood at 11.53 lakh shares.

• Indian Energy Exchange has 11.3 lakh shares change hands in a block. Stock down 3.8 percent at Rs 154.

Buyers and sellers were not immediately known

Source: Bloomberg

Gauge of drugmakers on the National Stock Exchange rose over 3.5 percent paced by gains in Divi's Labs, Dr. Reddy's Labs, Aurobindo Pharma and Sun Pharma.

• Ambuja Cements has 74 lakh shares change hands in a block deal on BSE. Stock up 0.4 percent at Rs 191.25.

Buyers and sellers were not immediately known

Source: Bloomberg

Shares of the Mumbai-based textile maker were locked in a five percent upper circuit at Rs 86.45.

Bombay Dyeing and Manufacturing Company agreed to convert debt given to its subsidiary Five Star Textile Indonesia, into equity to wind up the subsidiary in due course.

The company will convert debt worth nearly Rs 207 crore into equity. Post conversion the holding will increase to 97.4 percent from 86 percent.

Shares of the Mumbai-based private sector lender rose as much as 5.42 percent to Rs 567.

Axis Bank has plans to sell 19.79 lakh shares or 4.95 percent equity in NSDL to HDFC Bank for Rs 163.34 crore.

Meanwhile, Axis Bank saw 64.8 lakh shares change hands in a single block, according to data compiled by Bloomberg.

Shares of the travel-services provider was locked in a five percent upper circuit at Rs 194.75.

Cox&Kings announced to sell HB Education to U.K-based Midlothian Capital Partner for an enterprise value of £467 million, i.e., Rs 4,380 crore, according to its notification to the bourses.

HB Education contributed 21 percent and 47 percent to the revenue and net worth of Cox & Kings. Deal expected to complete by Nov. 23.

Shares of the Delhi-based stainless-steel products maker fell as much as 10 percent, the most in a month, to Rs 46.05 after it reported loss in September quarter.

Key earnings highlights:

• Revenue up 18 percent at Rs 3081 crore.
• Net loss of Rs 36 crore versus net profit of Rs 27 crore.
• Exceptional loss of Rs 53 crore in current quarter.
• Ebitda down 10 percent at Rs 231 crore.
• Margin at 7.5 percent versus 9.9 percent.

Shares of the Mumbai-based film producer rose as much as 11.13 percent to Rs 75.40 after its profit rose 40 percent in September quarter.

Key earnings highlights:

• Revenue up 9 percent at Rs 293 crore.
• Net profit up 40 percent at Rs 77 crore.
• EBITDA flat at Rs 82.5 crore.
• Margin at 28.2 percent versus 30.8 percent.

Shares of the Hyderabad-based drug maker rose as much as 14.27 percent, the most in nearly one year, to Rs 1,435, also its all-time high level.

Divi's Labs net profit nearly doubled in July-September quarter to Rs 398 crore and operationally also it was a good quarter for the company.

Key earnings highlights:

• Revenue up 44 percent at Rs 1,285 crore
• Net profit up 92 percent at Rs 398 crore.
• Ebitda up 85 percent at Rs 514 crore.
• Margin at 40 percent versus 31 percent
• Other income up 138 percent at Rs 80 crore versus Rs 34 crore due to forex gain.
• Forex gain up 40 percent at Rs 53 crore versus Rs 11 crore.

Shares of the country's second largest private sector lender rose as much as 6.73 percent, the most in over two months, to Rs 337 after it swung to profit in July-September quarter on account of lower provisioning for bad loans and higher interest income.

The private lender reported a Rs 909-crore profit, about 56 percent lower than in the same quarter last year, according to its stock exchange filing. Analysts tracked by Bloomberg had expected a profit of Rs 950 crore.

Key earnings highlights:

• Net interest margin stood at 3.33 percent compared with 3.24 percent last quarter.
• Loan book grew 13 percent, an 11-quarter high, over the last year.
• Retail loans grew 20 percent year-on-year and formed about 57 percent of its total loan portfolio.
• Provision coverage ratio rose 330 basis points 69.4 percent.

Meanwhile, brokerages have maintained their bullish stance on the stock with Morgan Stanley pegging target price of Rs 460 per share, indicating an upside of 46 percent from Friday’s closing price.

Indian equity benchmarks edged higher led by ICICI Bank which surged as much as 5 percent after it swung to profit in July-September quarter.

The S&P BSE Sensex rose 0.17 percent or 58 points to 33,410 and the NSE Nifty 50 Index climbed 0.1 percent or 10 points to 10,040.

Seven of 11 sector gauges compiled by National Stock Exchange were trading higher led by the Nifty Pharma Index's 1.2 percent gain. On the other hand, the Nifty IT Index was top loser, down 0.7 percent.

Mid- and small-cap shares were trading flat as the Nifty Midcap 100 Index 100 Index rose 0.1 percent while the Nifty Smallcap 100 Index was little changed.

Rupee opened higher at 73.30 per dollar against Friday's close of 73.47.

The local unit rose as much as 0.3 percent or 21 paise to 73.26.

On ICICI Bank

Morgan Stanley

• Maintained ‘Overweight’ with a price target of Rs 460.
• Strong beat on pre-provisioning operating profit and asset quality.
• Expect net interest margins and loan growth to pick up over the next 3-4 quarters.

CLSA

• Maintained ‘Buy’; cut price target to Rs 410 from Rs 430.
• Topline growth at multi-quarter high; asset quality stabilising.
• Uptick in CASA growth will be key.
• Normalisation of asset quality and rise of RoE to drive rerating.

Citi

• Maintained ‘Buy’ with a price target of Rs 390
• September quarter was a good quarter; net interest margins improves and coverage ratio increases.
• Bank continues to focus on improving core operating profit.
• Well positioned in terms of ALM with high CASA ratio and high share of floating rate loans.

On ITC

Morgan Stanley

• Maintained ‘Overweight’ with a price target of Rs 320.
• Estimate cigarette volumes grew over 6 percent for the quarter.
• Results include impact of stock damage due to floods and change in health warning graphics.
• Adjusting for one-offs, cigarette EBIT growth was 10 percent.

Jefferies

• Maintained ‘Buy’ with a price target of Rs 360.
• September quarter review: Cigarettes tad below; other segments show positive trend.
• Cigarette volume growth at 6 percent (YoY) highlights underlying stable demand.
• Price hikes taken in December quarter to aid topline and EBIT growth in cigarettes.

Citi

• Maintained ‘Buy’ with a price target of Rs 340.
• September quarter review: Steady; healthy 5-6 percent cigarette volume growth.
• Other FMCG profitability continues to improve.
• Hotels and paper shine; agri lackluster.

On Dr Reddy’s

Morgan Stanley

• Maintained Overweight with a price target of Rs 2,729.
• September quarter surpassed estimates as EM made up for domestic market stagnation.
• Base business is showing growth momentum.
• Overweight on potential launch of complex in the U.S. and reasonable valuation.

CLSA

• Maintained ‘Outperform’ with a price target of Rs 2,750.
• Net profit beat driven by lower tax rate and higher other income.
• Cost controls measures showing up; to be an important driver of earnings in FY19-20.
• U.S. recovery likely only in the next financial year starting with Nuvaring.

Nomura

• Maintained ‘Buy’ with a price target of Rs 2,704
• September quarter’s results were inline with estimates, after adjusting for one-time revenue/income.
• Despite a decline in the U.S. sales, the company delivered a steady quarter.
• Key near-term events likely to impact earnings and valuation multiples.

Citi

• Maintained ‘Buy’; raised price target to Rs 2,680 from Rs 2,270.
• Steady growth and margin improvement in September quarter, but underlying trends mixed.
• U.S. weak but offset by other businesses; margins held up despite pressure.
• Near-term prospects heavily dependent on three key assets in the U.S.

On Nestle

Morgan Stanley

• Maintained ‘Underweight’ with a price target of Rs 8,500.
• Strong top-line and operating performance in December quarter.
• Broad-based volume-led growth in product portfolio led to beat.
• Believe that cost efficiencies-led strong margin expansion already priced in.

Jefferies

• Maintained ‘Buy’; cut price target to Rs 11,600 from Rs 11,650.
• September quarter review: strong all-round show.
• Expansion in margins despite higher marketing spend highlights topline and market share focus.
• Volume growth was broad-based; expect momentum to sustain.

Deutsche Bank Research

• Maintained ‘Buy’ with a price target of Rs 11,750
• Impressive September quarter driven by the robust broad based volume growth.
• Continued its innovation drive and entered three new product segments.
• Volume and margin focus, innovation and favoring agility to drive double digit earnings growth.

On UPL

Morgan Stanley

• Maintained ‘Overweight’ with a price target of Rs 864.
• Net profit missed estimates, driven by higher tax rate, profit before tax was ahead.
• Revenue growth was driven by strong growth in Latin America.

Deutsche Bank Research

• Maintained ‘Buy’ with a price target of Rs 765.
• Strong LatAm revenue growth a key positive from September quarter’s result.
• Market share gains to continue, but leverage to be elevated.
• Positive outlook on its organic business.

More Calls

Citi on DB Corp

• Maintained ‘Buy’; cut price target to Rs 225 from Rs 295.
• Unexciting September quarter impacted by shift in festive season and higher cost.
• Growth in December quarter should look significantly better boosted by festival and election timing.
• Management suggests growth in costs may have peaked.

Citi on BEL

• Maintained ‘Buy’ with a price target of Rs 112.
• September quarter’s net profit was significantly ahead on solid execution.
• Key orders won in September quarter.
• New DPSU pricing will not impact margins in the next three years.

CLSA on Shriram Transport

• Maintained ‘Sell’; cut price target to Rs 960 from Rs 1,260.
• Asset growth led by rural markets; see cyclical risks ahead.
• Some pressure on asset quality; impact of contagion on construction sector is key.
• Lower earnings to factor in IndAS transition.

CLSA on ONGC

• Maintained ‘Buy’; cut price target to Rs 225 from Rs 240, implying a potential upside of 48 percent from the last regular trade.
• Higher tax revenue from crude will partly offset slippage in oil subsidy bill.
• Worst is already priced in and risk-reward appears highly favourable.
• Expect clarity on subsidy burden within three months which should be a big trigger.

• Nifty November Futures closed trading at 10054, premium of 24 point.
• Nifty November open interest (OI) up 3.6 percent; Nifty Bank November OI up 6.2 percent.
• Max OI for Oct series at 10,500 Call, OI at 20.1 lakh shares.
• Max OI for Oct series at 10,000 Put, OI at 34.0 lakh shares.

Insider Trades

• Maharashtra Seamless promoter SWOT Trading & Services LLP acquired 2,225 shares on Oct. 23.
• Centrum Capital promoter BG Advisory Services LLP acquired 2.11 lakh shares from Oct. 23-24.
• Mayur Uniquoters promoter acquired 200 shares on Oct. 25.
• Axis Bank promoter LIC sold 14.97 lakh shares on Oct. 25.
• Dynemic Products promoter Vimlaben B. Patel acquired 2,000 shares on Oct. 25.
• Sobha promoter Ravi Pnc Menon acquired 735 shares on Oct. 25.

(As reported on Oct. 26)

• Agro Tech Foods: Pari Washington India Master Fund bought 2.12 lakh shares or 0.9 percent equity at Rs 499.41 each.
• Indiabulls Integrated Services: Infinium Natural Resources Investments Pvt Ltd sold 5.02 lakh shares or 0.6 percent equity at Rs 333.04 each.

Setco Automotive

• Srinidhi Infin Limited bought 10.26 lakh shares or 0.8 percent equity at Rs 34.52 each.
• Promoter Setco Engineering Private Limited sold 10.28 lakh shares or 0.8 percent equity at Rs 34.52 each.

Ujjivan

• Franklin India Focused Equity Fund bought 10 lakh shares or 0.8 percent equity at Rs 174.55 each.
• Franklin India High Growth Companies Fund bought 13.17 lakh shares or 1.1 percent equity at Rs 179.02 each.

ICICI Bank (Q2, YoY)

• NII up 12.4 percent at Rs 6,418 crore.
• Net Profit of Rs 909 crore versus Rs 2,058 crore.
• Total Provisions at Rs 3,994 crore versus Rs 5,971 Cr (QoQ).
• GNPA (as percent of gross advances) at 9.30 percent versus 9.65 percent QoQ.
• NNPA (as percent of gross advances) at 4.05 percent versus 4.67 percent QoQ.

Eros International Media (Q2, YoY)

• Revenue up 9 percent at Rs 293 crore.
• Net profit up 40 percent at Rs 77 crore.
• EBITDA flat at Rs 82.5 crore.
• Margin at 28.2 percent versus 30.8 percent.

Shoppers Stop (Q2 YoY)

• Revenue up 3 percent at Rs 864.5 crore.
• Net profit of Rs 13 crore versus net loss of Rs 22 crore.
• Exceptional loss of Rs 34 crore in base quarter
• Ebitda up 5 percent at Rs 54.5 crore.
• Margin at 6.3 percent versus 6.2 percent.

Jindal Stainless (Q2, YoY)

• Revenue up 18 percent at Rs 3081 crore.
• Net loss of Rs 36 crore versus net profit of Rs 27 crore.
• Exceptional loss of Rs 53 crore in current quarter.
• Ebitda down 10 percent at Rs 231 crore.
• Margin at 7.5 percent versus 9.9 percent.

Deepak Nitrite (Q2, YoY)

• Revenue up 22 percent at Rs 433 crore.
• Net profit up 22 percent at Rs 28 crore.
• Ebitda up 34 percent at Rs 69 crore.
• Margin at 15.9 percent versus 14.5 percent.

Nestle India Ltd (Q2, YoY)

• Revenue up 17 percent at Rs 2939 crore.
• Net profit up 30 percent at Rs 446 crore.
• Ebitda up 24 percent at Rs 724.5 crore.
• Margin at 24.7 percent versus 23.2 percent.

Emami Paper Mills (Q2, YoY)

• Revenue up 30 percent at Rs 407.5 crore.
• Net profit at Rs 17 crore versus Rs 0.5 crore.
• Ebitda up 114 percent at Rs 61 crore.
• Margin at 15 percent versus 9.1 percent.

PI Industries (Q2, YoY)

• Revenue up 29 percent at Rs 723 crore.
• Net profit up 17.5 percent at Rs 94 crore.
• Ebitda up 10 percent at Rs 134 crore.
• Margin at 18.5 percent versus 21.7 percent.

Nucleus Software Exports (Q2, QoQ)

• Revenue up 7.5 percent at Rs 121.5 crore.
• Net profit up 8 percent at Rs 19 crore.
• EBIT up 3 percent at Rs 17.5 crore versus Rs 17 crore.
• Margin at 14.4 percent versus 15.0 percent.

Aavas Financiers (Q2, YoY)

• Revenue up 28 percent to Rs 164 crore.
• Net Profit up 7 percent to Rs 35 crore.
• Higher finance, employee and other expenses lowered profit growth.
• AUM for H1FY19 up 49 percent at Rs 4,759 crore.
• Disbursements for H1FY19 up 37 percent at Rs 1,089 crore.
• NIMs for H1FY19 flat at 8.8 percent.
• GNPA for H1FY19 at 0.57 percent versus 0.81 percent as of H1FY18.

Seshasayee Paper & Boards Q2, YoY)

• Revenue up 46 percent at Rs 331 crore.
• Net profit up 92 percent to Rs 50 crore.
• Ebitda up 70 percent to Rs 82 crore versus Rs 48 crore.
• Margin at 24.8 percent versus 21.1 percent.
• Other income up 131 percent to Rs 4.6 crore.
• Lower cost of material aided financials.

HT Media (Q2, YoY)

• Revenue down 6 percent to Rs 513 crore versus Rs 545 crore.
• Net Loss of Rs 39 crore versus net profit of Rs 77 crore.
• Ebitda Loss of Rs 19.5 crore versus Rs 95.5 crore profit.
• Exceptional loss of Rs 24 crore as the company provided for a contingent loss related to a dispute pending hearing.
• Higher other expense and higher cost of raw materials led to Ebitda loss.
• Finance cost rose 65 percent to Rs 33 crore versus Rs 20 crore.

Divi’s Lab (Q2, YoY)

• Revenue up 44 percent at Rs 1,285 crore
• Net profit up 92 percent at Rs 398 crore.
• Ebitda up 85 percent at Rs 514 crore.
• Margin at 40 percent versus 31 percent
• Other income up 138 percent at Rs 80 crore versus Rs 34 crore due to forex gain.
• Forex Gain up 40 percent at Rs 53 crore versus Rs 11 crore.

DCM Shriram Industries (Q2, YoY)

• Revenue down 3 percent at Rs 415 crore.
• Net Profit up 16 percent at Rs 24.7 crore.
• Ebitda down 1 percent at Rs 38 crore.
• Margin at 9.2 percent versus 9 percent.
• Other income up 39 percent at Rs 5.22 crore.

Vinati Organics (Q2, YoY)

• Revenue up 57 percent at Rs 253 crore.
• Net profit up 123 percent at Rs 65 crore.
• Ebitda up 107 percent at Rs 95 crore.
• Margin at 37.7 percent versus 28.6 percent
• Other income up 113 percent at Rs 11 crore versus Rs 5 crore.
• Lower cost of material, lower finance cost and higher other income aided financials.

Gujarat Ambuja Exports (Q2, YoY)

• Revenue flat at Rs 776 crore.
• Net profit up 58 percent to Rs 33 crore.
• Ebitda up 48 percent at Rs 74 crore.
• Margin at 9.6 percent versus 6.5 percent.

IFB Agro Industries (Q2, YoY)

• Revenue up 4 percent at Rs 465 crore.
• Net profit up 0.3 percent at Rs 11.51 crore.
• Ebitda up 3 percent at Rs 21 crore.
• Margin at 4.4 percent versus 4.5 percent.

Nifty Earnings To Watch

Bharat Petroleum Corporation

• Revenue seen up 9 percent at Rs 78,181 crore versus Rs 71,697 crore
• Net profit seen down 22 percent at Rs 1,796 crore versus Rs 2,293 crore
• Ebitda seen down 18 percent to Rs 3,171 crore versus Rs 3,875 crore
• Margin seen at 4.1 percent versus 5.4 percent
• GRM to come in at $6.5/bbl versus $7.5/bbl

Other Earnings To Watch

• HDFC Asset Management Company
• Coffee Day Enterprises
• Just Dial
• Tata Power Company
• Sun Pharma Advanced Research Company
• Century Textiles & Industries
• Colgate Palmolive
• Thirumalai Chemicals
• LIC Housing Finance
• Vijaya Bank
• DCM Shriram
• Union Bank of India
• Wonderla Holidays

• Axis Bank to sell 19.79 lakh shares or 4.95 percent equity in NSDL to HDFC Bank for Rs 163.34 crore.
• Dr. Lal Path Labs received NCLT, New Delhi bench’s approval for merger of Delta Ria and Pathology with self. However, the said merger is subject to approval from NCLT, Ahmedabad.
• Peninsula Land to acquire 71 percent stake in RR Mega City Builders for Rs 5.04 crore.
• Cox & Kings to sell HB Education, wholly owned subsidiary to U.K. based Midlothian Capital Partner for and enterprise value of £467 million, i.e., Rs 4,380 crore. HB Education contributed 21 percent and 47 percent to the revenue and net worth of Cox & Kings. Deal expected to complete by Nov. 23.
• Bombay Dyeing and Manufacturing Company agreed to convert debt given to its subsidiary Five Star Textile Indonesia, into equity in order to wind up the subsidiary in due course. The company will convert debt worth nearly Rs 207 crore into equity. Post conversion the holding will increase to 97.4 percent from 86 percent..
• The U.S. FDA completed inspection of Dishmam Carbogen Amcis’s Bavla facility without any major or critical observations.
• Birla Corporation’s wholly owned subsidiary approved the 1.2 MTPA cement capacity expansion plan. The company will incur a capex of Rs 250 crore which will be funded through a mix of debt and internal accruals.
• India Cements to acquire Springway Mining Pvt. Ltd. for Rs 183 crore with an objective of setting up of a cement plant in Madhya Pradesh.
• Hitachi’s India unit to acquire 26 percent of SBI Payment Services, according to Bloomberg report.

• Where will global GDP growth come from in the next five years?
• Early indicators show China’s slowdown worsened again
• Oil regulator approves sale of Mukesh Ambani’s pipeline to Brookfield
• Eight of top 10 companies suffer Rs 1.35 lakh crore-hit in market valuation
• Ahead of Facebook earnings, analysts hope it can’t get any worse
• Rupee worries top India bond underwriter more than deficit miss
• Why higher support prices won’t help small farmers
• Government versus RBI: Dissent at the podium
• Are unilateral amendments by app-based services getting the better of users?
• Musk says tweet that cost him $20 million was ‘worth it’
• There’s a new venture capitalist in town

Good Morning!

The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India rose 0.5 percent to 10,100 as of 8:00 a.m.

Most Asian stocks edged higher and U.S. stock futures steadied, indicating some respite at the start of the week from the recent global sell-off. The dollar and Treasury yields were little changed.

Shares in Sydney and Tokyo rose, were little changed in Hong Kong and Seoul, and fell in Shanghai.

Currencies

• The yen was at 111.97 per dollar.
• The offshore yuan was steady at 6.9549 per dollar.
• The Bloomberg Dollar Spot Index ticked higher. It fell 0.3 percent Friday after reaching a 17-month high.
• The euro bought $1.1390.

Commodities

• West Texas Intermediate crude added 0.3 percent to $67.81 a barrel.
• Gold was flat at $1,233.78 an ounce.