Stocks Radar: Bharat Electronics, Equitas, Indiabulls Housing Finance, Prabhat Dairy, Reliance Home Finance
A look at the stocks in news moving the markets today.
Indian equity benchmarks were trading in the red on Monday, tracking Asian peers that fell after China data missed estimates and the yuan retreated.
At 11:21 am, the S&P BSE Sensex was 0.32 percent lower at 37,267.08 points while the NSE Nifty 50 fell 0.35 percent to 11,036.65. Titan Co. Ltd. was the top gainer on the Nifty 50 Index while Bharat Petroleum Corporation Ltd. was the top loser.
About 976 shares advanced while 703 others declined on National Stock Exchange. Seven out of the eleven sectoral indices compiled by NSE traded lower, led by the NSE Nifty Financial Services Index’s 0.5 percent fall. On the flipside, the NSE Nifty Media Index was the top sectoral gainer, up 1.2 percent.
Here’s a look at the stocks in news moving the markets today:
Equitas Falls As SEBI Rejects Draft IPO Papers For Equitas SFB
Shares of Equitas Holdings Ltd. fell as much as 17.77 percent, its steepest intraday decline since Oct. 26, to Rs 96.25 apiece.
This, after Securities and Exchange Board of India rejected Equitas Holdings' draft IPO papers for listing of Equitas Small Finance Bank Ltd. SEBI has directed Equitas Holdings to refile the papers, ensuring compliance with its listing norms.
To be sure, Equitas Small Finance Bank was supposed to list on Sept. 4, but it overshot the deadline. The Reserve Bank of India has declined to extend the listing deadline, and imposed restrictions on Equitas Small Finance Bank’s ability to open new branches till further notice and froze the MD and CEO’s remuneration at the existing level.
Still, Equitas Holdings is aiming to list Equitas SFB by March 2020 and “is trying to see how to have only one listed entity for one business, which is the bank business”, MD and CEO PN Vasudevan told BloombergQuint on Sept. 9.
Equitas Holdings will now initiate necessary steps to list the small finance bank’s shares by March 2020, the company said in an exchange filing on Friday.
The Equitas Holdings stock has declined 33 percent in the past 52 weeks while the Sensex shed 2.3 percent, Bloomberg data shows.
Indiabulls Housing Finance Rises After Delhi HC Action
Shares of Indiabulls Housing Finance Ltd. rose as much as 3.31 percent intraday to Rs 456.90 apiece.
The Delhi High Court on Friday restrained Bharatiya Janata Party leader Subramanian Swamy and social media firms from publishing or disseminating any “false, offending or defamatory” allegations against Indiabulls Housing Finance.
The trading volume for the Indiabulls Housing Finance stock was 35 percent below the 20-day average for this time of the day, Bloomberg data shows.
Reliance Home Finance Disputes Downgrade, Shares Rise
Shares of Reliance Home Finance Ltd. rose as much as 2.65 percent to Rs 5.80 apiece after it said the ratings downgrade by Care Ratings Ltd. was “untimely and uncalled for”.
Care Ratings has downgraded to ‘D’ the company’s debt instruments, primarily due to delay in servicing of principal on one of its non-convertible debentures. Reliance Home Finance considers the ratings action untimely and uncalled for, specifically since the company is working on a resolution plan, it said in a regulatory filing.
Reliance Home Finance has been directed by lenders to keep servicing only the interest obligation across all lenders. Debt servicing towards principal repayment irrespective of type of facility is to be made on parity, the exchange filing stated.
The Reliance Home Finance stock has declined 91 percent in the past 52 weeks while the Sensex has shed 2.4 percent, Bloomberg data shows.
Prabhat Dairy Falls After Delisting Plan Is Approved
Shares of Prabhat Dairy Ltd. fell to a three-week intraday low of 10.58 percent to 71.00 apiece.
The board of dairy products maker has approved the company’s delisting plan, with the floor price set at Rs 63.77 per share, a 20 percent discount to the stock’s closing price on Sept. 13.
Prabhat Dairy is seeking to exit the bourses as it no longer operates in the core dairy business. In January, the Navi Mumbai-based fim sold its core milk processing business to Tirumala Milk Products, the India arm of France-based Groupe Lactalis’, for Rs 1,700 crore. The company now aims to pivot into an animal feed and genetics company.
The trading volume for the Prabhat Dairy stock was quadruple the 20-day average for this time of the day, Bloomberg data shows.
Bharat Electronics Rises After Winning Akash Missile Contract
Shares of Bharat Electronics Ltd. rose as much as 4.37 percent to Rs 113.40 apiece, extending gains for the third straight trading session.
Bharat Electronics Limited has signed a Rs 5,357-crore contract with the Ministry of Defence for procurement of seven squadrons of Akash Missile System for Indian Air Force, the defence manufacturing firm said in an exchange filing on Friday.
These systems will be commissioned at seven Indian Air Force locations across India. The delivery has to completed in three years.
The Bharat Electronics stock has advanced 26 percent in the past year while the Sensex has shed 2.4 percent, , Bloomberg data shows.