Stocks In News Today: RBL Bank, IDBI Bank, Infosys, Tata Motors, Ujjivan Small Finance Bank, Yes Bank
Here’s a look at the stocks in news moving the markets today.
Indian equity benchmarks extended gains for the third consecutive trading session on news that U.S. President Donald Trump has signed off on phase one of a U.S.-China trade deal.
At 12:43 pm, the S&P BSE Sensex was trading 0.85 percent higher at 40,927.14 points while the NSE Nifty 50 was up 0.74 percent at 12,060.10. Vedanta Ltd. was the top gainer on the Nifty 50 index and Dr. Reddy’s Laboratories Ltd. the top loser.
Also Read: India May Allow Foreigners To Buy More Sovereign Bonds, BS Says
Here’s a look at the stocks in news moving the markets today:
RBL Bank Says Bajaj Finance Not To Participate In Preferential Share Issue
Shares of RBL Bank Ltd. extended their winning streak for a third straight trading session, rising as much as 3.05 percent to Rs 344.75 apiece.
The private sector lender, in an exchange filing on Friday, said Bajaj Finance Ltd. will not participate in its preferential share issue due to difficulty in getting the Reserve bank of India’s approval in time.
On Dec. 6, RBL Bank raised Rs 2,025 crore from 40 investors, including non-banking lender Bajaj Finance Ltd., in a qualified institutional placement to bolster its capital base.
The NBFC, which has had a partnership with RBL Bank to sell co-branded credit cards, has invested Rs 150 crore to get a 0.87 percent stake. Bajaj Allianz Life Insurance Co. Ltd. has picked up a 0.65 percent stake.
The lender’s shares are up 0.8 percent in the past five days and rose 2.6 percent in the past 30 days, Bloomberg data shows. The stock has declined 41 percent in the past 52 weeks, according to the data.
Dr. Reddy’s Shares Plunge, Trading Volume Spikes
Shares of Dr. Reddy’s Laboratories Ltd. declined the most since Sept. 23, falling as much as 4.57 percent to Rs 2,773.00 apiece.
Amneal Pharmaceuticals Inc. has pipped the Hyderabad-based drugmaker to launch the first generic of a vaginal ring to prevent pregnancy in the U.S., one of the largest markets for most Indian drugmakers. NuvaRing’s annual sales in U.S. stood at nearly $976 million for the 12 months ended Oct. 31, according to IQVIA, a healthcare data and analytics provider.
Amneal Pharma’s entry into the market for NuvaRing does not bode well for Dr. Reddy’s earnings, Jefferies analyst Piyush Nahar said in a note. Dr. Reddy's will likely launch the product in the second half of 2020-21, giving Amneal Pharma a one-year headstart in the billion-dollar market, according to the note.
Trading volume was almost six times the 20-day average for this time of the day, Bloomberg data shows.
Tata Motors Rises To Highest In More Than Six Months
Shares of Tata Motors Ltd. rose as much as 6.11 percent to Rs 183.95 apiece—the highest since May 28, 2019.
According to the company’s latest shareholding data available on the exchanges, Tata Sons Ltd. has increased its stake in Tata Motors to 39.52 percent from 35.3 percent. Total promoter stake in the company now stands at 42.39 percent from 38.37 percent earlier.
Trading volume in the stock was more than quadruple the 20-day average for this time of the day, Bloomberg data shows.
Ujjivan Small Finance Bank Falls After Stellar Debut
Shares of Ujjivan Small Finance Bank Ltd. fell as much as 8.67 percent to Rs 51.10, a day after the lender made a stellar debut on the stock markets.
Shares of the lending arm of Ujjivan Financial Services Ltd. rose as much as 70 percent on Thursday. The stock hit a peak of Rs 62.80 apiece, 69.73 percent higher than the issue price of Rs 37 per share on the National Stock Exchange, before ending the day 49.45 percent higher at Rs 55.30 apiece.
Infosys Rises After Clarifying On Fresh U.S. Class Action Lawsuit
Shares of Infosys Ltd. gained the most since Dec. 4, rising as much as 1.37 percent to Rs 711.75 apiece.
Infosys is aware of several media stories referencing an additional class action suit against the company in the U.S., but “it is not aware of any additional complaints, other
than the initial complaint, which was disclosed on Oct. 24, 2019”, the IT firm said in an exchange filing on Friday.
Infosys said it is not uncommon for plaintiffs’ lawyers to issue press releases asking potential plaintiffs to contact them in order to apply for lead plaintiff status in an existing lawsuit. “It appears that the press communications by the Schall Law Firm is soliciting potential lead plaintiff applicants.”
Trading volume in the stock was more than double the 20-day average for this time of the day, Bloomberg data shows.
IDBI Bank Shares Rise To Highest In Nearly Three Weeks
Shares of IDBI Bank Ltd. extended their winning streak to a third day, rising as much as 9.89 percent to Rs 40.55—the highest since Nov. 25.
The Life Insurance Corporation of India-backed lender is in talks with U.S.-based Avenue Capital to sell its entire 19.18 percent stake in India’s oldest stressed asset aggregator Asset Reconstruction Company of India, or Arcil, as it looks to monetise its non-core investments, The Economic Times reported Dec. 13, citing people familiar with the development.
Trading volume in the IDBI Bank stock was more than five times the 20-day average for this time of the day, Bloomberg data shows.
Yes Bank Gains On Report It May Take QIP Route For Fundraising
Shares of Yes Bank Ltd. extended its wining streak to a second consecutive trading session, rising as much as 5.07 percent to Rs 47.65 apiece.
The private sector lender, which is in the midst of a $2 billion fundraising, is seeking exemption from capital markets regulator Securities and Exchange Board of India to raise via qualified institutional placement as a backstop for its ongoing plan to sell stake via preferential allotment, The Economic Times reported.
Yes Bank shares are down 17 percent in the past five days and fell 31 percent in the past 30 days, Bloomberg data shows. The stock has declined 73 percent in the past 52 weeks, according to the data.
ITDC Halts Two-Day Slide, Shares Surge Nearly 8%
Shares of India Tourism Development Corporation Ltd. halted a two-day losing streak and rose as much as 8.1 percent to Rs 344 apiece.
On Thursday, the company’s board on Thursday accorded in-principal approval regarding merger with ITDC of Kumarakruppa Frontier Hotels Pvt. Ltd., a government company, according to its statement on the exchanges. The government holds 90.09 percent shareholding with the company, the statement added.
The stock had slumped nearly 9 percent in the last two trading sessions.