The market gained more ground and was up for the forrth week in a row. But the momentum seems to be petering out. The Sensex gained 222.93 points, or 0.65 per cent, to close at 34,415.58 points. The Nifty was up 83.45 points, or 0.79 per cent, to close at 10,564.05 points. The broader indices were up between 0.85 per cent to 0.90 per cent. The Dow Jones, though volatile, was marginally up, gaining 102.80 points, or 0.42 per cent, to close at 24,462.94 points.
Companies and Markets
Companies & Markets
Lenders are allowed to invoke Article 14 of the Constitution if they notice violation of business restructuring plan and proposal referred to the National Company Law Tribunal (NCLT).
The Life Insurance Corporation (LIC) of India, country’s largest investor in the equity market, booked profit in blue chip Sensex companies as the benchmark index rose to all-time high of 36,443.98 in the January-March quarter.
LIC also raised its stake in other Sensex companies that were available at attractive prices, according to LIC shareholding in Q4FY18 compared with the previous quarter as disclosed by Sensex companies to the bourses.
The resolution process for Essar Steel may undergo another round of bidding with sources indicating that both ArcelorMittal and Nu Metal could fail the eligibility test again after reconsideration of their applications by the committee of creditors (CoC) under the directions of Ahmedabad bench of National Company Law Tribunal (NCLT). World’s largest steel maker ArcelorMittal and VTB Capital-led Russian consortium Nu Metal had submitted bids for Essar Steel on February 12, in the first round of auctions.
The finance ministry is hopeful of Punjab National Bank, which has been defrauded to the tune of Rs 13,000 crore by two diamond merchants, making a quick recovery in the first quarter of the current fiscal. The government is also confident that the downgrade rating on the bank would be revised soon.
Hitachi India has picked up stake in MGRM Net Ltd, a company involved in the IT service business in India as part of its efforts to expand its Social Innovation Business using digital technologies.
Consequent to the acquisition, the name of the company would be changed to Hitachi MGRM Net.
The market continued its uptrend on Thursday on the back of strong global cues after taking a pause on Wednesday. The Sensex gained 95.61 points, or 0.28 per cent, to close at 34,427 and the Nifty 50 Index added 39.10 points, or 0.37 per cent, to end at 10,565. The BSE Mid-Cap and Small-Cap indices outperformed the Sensex.
Among the sectoral indices on the BSE, Metal was up 4.46 per cent, Basic Materials 2.76 per cent and Capital Goods 1.06 per cent.
A day after claiming that there was a Rs 70,000-crore cash shortfall in the system, SBI Reseach on Thursday termed the ongoing shortage in cash supplies as "superficial", citing a decline in cash withdrawals from ATMs in the March quarter over the previous quarter.
After tepid listing, defence public sector undertakings Mishra Dhatu Nigam, and Bharat Dynamics and Hindustan Aeronautics their shares rally on the back of deals struck at the recent Defence Expo in Chennai.
Mishra Dhatu Nigam gained 9.98 per cent on Thursday on the BSE to close at Rs 168.60. The stock hit the upper circuit early morning trade and was locked in the upper circuit for the rest of the trading session.
The Midhani stock has gained 87.33 per cent after it listed almost flat at the initial public offering price of Rs 90 per share on April 4, 2018.
Shares of Merck zoomed nearly 19 per cent on Thursday after Procter & Gamble announced it will acquire a 51.80 per cent stake in the company for Rs 1,289.88 crore as part of a global deal under which it is taking over German firm Merck KGaA's international consumer health business.
The global deal is for about 3.4 billion euros (Rs 27,677 crore) in cash.
P&G will acquire Merck's majority shareholding in Merck (India) and make a mandatory tender offer to minority shareholders.