Stocks In News Today: Bharti Infratel, CG Power, IIFL Wealth, Infibeam, Mahindra
Indian equity benchmarks fluctuated between gains and losses in the opening trade.
At 11:00 am, the S&P BSE Sensex and the NSE Nifty 50 traded little changed at 41,442 and 12,207.80, respectively. The broader markets represented by the NSE Nifty 500 Index, too, traded flat.
The market breadth was tilted in favour of buyers. About 857 stocks advanced and 578 shares declined on National Stock Exchange.
Seven out of 11 sectoral gauges compiled by NSE traded lower, led by the NSE Nifty PSU Pharma Index’s 0.1 percent fall. On the flipside, the NSE Nifty Metal Index was the top sectoral gainer, up 0.14 percent.
Here’s a look at the stocks in news moving the markets today.
Bharti Infratel Falls After Delaying Merger With Indus Towers
Shares of Bharti Infratel Ltd. fell as much as 1.43 percent to Rs 251.65 apiece—the lowest since Dec. 23.
The telecom tower operator’s merger with unlisted Indus Towers Ltd. to create the largest tower company outside China has been deferred as it still hasn’t received the government’s approval, BloombergQuint reported on Dec. 24.
Bharti Airtel Ltd.’s tower unit was unable to complete the merger, announced in April last year, within the extended timeline, according to an exchange filing. The company is still awaiting Department of Telecommunications’ nod for enhancement of foreign direct investment limit. Hence, the board has extended the long stop date till Feb. 24, 2020.
Bharti Infratel shares are up 1.3 percent in the past five days and rose 9 percent in the past 30 days, Bloomberg data shows. The stock has declined 3.4 percent in the past 52 weeks, according to the data.
IIFL Wealth Slumps To Record Low, Trading Volume Surges
Shares of IIFL Wealth Management Ltd. fell as much as 15 percent to a record low of Rs 924 piece.
Trading volume in the stock was five times the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded, 57 percent were at the ask price and 40 percent were at the bid.
The shares are down 5.8 percent in the past five days and fell 19 percent in the past 30 days, Bloomberg data shows. The stock has declined 17 percent in the past 52 weeks, according to the data.
According to Bloomberg, insiders at present hold 5.8 percent in the company. In the past six months, they cut their holdings by 20 percent.
Infibeam Rises To Highest In More Than A Year
Shares of Infibeam Avenues Ltd. rose as much as 18.86 percent to Rs 55.45 apiece—the highest since Nov. 18, 2018.
Trading volume in the stock was more than 19 times the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded, 55 percent were at the ask price and 35 percent were at the bid.
Infibeam trades at 32 times its estimated earnings per share for the coming year.
Mahindra & Mahindra Gains After Top Management Reshuffle
Shares of Mahindra & Mahindra Ltd. extended gains for a second straight trading session, rising as much as 1.65 percent to Rs 536.20 apiece.
The automaker had over the past week announced a reshuffle in its top management, as part of a succession plan that comes into effect on Apr. 1, 2020. You can read about the management changes here and here.
M&M shares are up 2.2 percent in the past five days and fell 0.8 percent in the past 30 days, Bloomberg data shows. The shares have declined 32 percent in the past 52 weeks, according to the data.
CG Power Surges After Report On Its Asset Sale Plans
Shares of CG Power and Industrial Solutions Ltd. gained the most since Dec. 13, 2019, rising as much as 4.33 percent to Rs 10.85 apiece.
The company is looking to sell its overseas assets as a separate entity that it values at around $250 million, Economic Times reported on Dec. 26, citing three unidentified people with direct knowledge of the development.
According to the report, CG Power has held talks with some Japanese and European companies for same price. The proceeds will be used to settle debt and payables.
Trading volume in the stock was 44 percent below the 20-day average for this time of the day, Bloomberg data shows. Of the shares that were traded, 38 percent were at the ask price and 61 percent were at the bid.
The one-month implied volatility was 128 percent.