Asian Paints, Patni, Lanco Infratech: India Stocks Preview

The following companies may have unusual price changes in India trading. Stock symbols are in parentheses and share prices are as of the last close, unless stated otherwise.

The Bombay Stock Exchange Sensitive Index, or Sensex, fell 345.20, or 1.7 percent, to 19,585.44. The S&P CNX Nifty Index on the National Stock Exchange declined 1.8 percent to 5,890.30. The BSE 200 Index retreated 1.8 percent to 2,482.82.

SGX S&P CNX Nifty Index futures for November rose 0.9 percent to 5,928 as of 10:35 a.m. in Singapore.

Sugar producers: Output by India, the world’s second- largest producer, may total 24.5 million metric tons in the year from Oct. 1, Junior Farm Minister K.V. Thomas said in a written reply in parliament. The estimate is less than 25 million tons forecast on Nov. 11 by Farm Minister Sharad Pawar. Bajaj Hindusthan Ltd. (BJH IN), India’s biggest producer, slid 3.8 percent to 116.75 rupees and Balrampur Chini Mills Ltd. (BRCM IN), the second-biggest, fell 3.4 percent to 78.8 rupees.

Iron ore exporters: An Indian court upheld a ban on iron- ore exports from the nation’s second-biggest producing state, asking miners to halt shipments until the last week of January when the suspension ends, said Divid Pichamuthu, director at the Federation of Indian Mineral Industries, or FIMI, by telephone from Bangalore. NMDC Ltd. (NMDC IN), Asia’s third-largest iron ore miner, declined 2.6 percent to 259.45 rupees. Sesa Goa Ltd. (SESA IN), the nation’s largest iron ore exporter, fell 2.9 percent to 331.6 rupees. MMTC Ltd. (MMTC IN), the largest state- owned trading company, decreased 1.2 percent to 1,174 rupees.

Power Producers: India’s government has selected seven companies including Lanco Infratech Ltd. (LANCI IN), Reliance Power Ltd. (RPWR IN) and KVK Energy & Infrastructure Pvt. Ltd. to build 470 megawatt of solar power capacity, the Financial Express reported, without saying how it got the information. The project involves investment of 70 billion rupees ($1.55 billion), the newspaper said. Lanco fell 1.2 percent to 64 rupees, while Reliance Power slid 2.9 percent to 167.5 rupees.

Asian Paints Ltd. (APNT IN): India’s largest paint-maker was rated “outperform” in new coverage at Credit Suisse Group AG, which cited the company’s market share and distribution network. The brokerage has a share-price estimate of 3,045 rupees for Asian Paints, according to a report by Govindarajan Chellappa and Rajasa K. The stock fell 0.6 percent to 2,636.6 rupees.

Emami Ltd. (HMN IN): The maker of health-care products is in talks to buy a personal-care company in Africa, Business Standard newspaper reported, citing people it didn’t name. The stock slid 0.8 percent to 475.75 rupees.

Murli Industries Ltd. (MRLI IN): Cemex SAB de CV, the largest cement maker in the Americas, is close to buying the cement business of India’s Murli Industries for about $550 million, the Economic Times reported, citing a person involved in the negotiations.

Bank of America Merrill Lynch, Motilal Oswal Financial Services Ltd. and Macquarie are advisers on the transaction, the newspaper said. Murli Industries declined 4.9 percent to 77.5 rupees.

National Aluminium Co. (NACL IN): The nation’s second- biggest producer of the metal cut domestic prices by 4,000 rupees per ton, Reuters reported on Nov. 20, citing an unidentified company official. The stock dropped 1.1 percent to 379.6 rupees.

Nestle India Ltd. (NEST IN): The unit of the world’s biggest food company was downgraded to “underweight” from “neutral” by Percy Panthaki, an analyst at HSBC Holdings Plc, with a price estimate of 3,400 rupees per share. The shares fell 3.7 percent to 3,624.85 rupees.

Patni Computer Systems Ltd. (PATNI IN): Private equity firms Carlyle Group and Advent International Corp. may jointly bid $1 billion to acquire Patni, a technology-services provider backed by General Atlantic LLC, the Times of India reported, citing people it didn’t name. The stock fell 2.3 percent to 467.65 rupees.

Reliance Industries Ltd. (RIL IN): The nation’s biggest company by market value said it restarted one of its crude distillation units and a coker at its Jamnagar refinery on Nov. 17, the company said in a statement to the National Stock Exchange on Nov. 19. Both units, shut for maintenance in the last week of October, are operating satisfactorily, Reliance said. The shares sank 3.6 percent to 996.25 rupees.

Tata Power Ltd. (TPWR IN): India’s biggest power generator outside state control plans to invest about 50 billion rupees ($1.1 billion) in wind energy, the Press Trust of India reported yesterday, citing Banmali Agrawala, executive director of strategy and business development. The shares declined 0.8 percent to 1,312.05 rupees.

Unitech Ltd. (UT IN): Telenor ASA said no wrong-doings were committed when it obtained a mobile phone license for its Indian division Uninor, NTB reported yesterday, citing spokesman Glenn Mandelid. Unitech slumped 4.7 percent to 67.9 rupees.

To contact the reporters on this story: Kartik Goyal in New Delhi at kgoyal@bloomberg.net; Rajhkumar K Shaaw in Mumbai at rshaaw@bloomberg.net

To contact the editor responsible for this story: Darren Boey at dboey@bloomberg.net

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