Axis Bank, Cairn, Oil India, Tata Motors: India Stocks Preview
Stock Chart for Axis Bank Ltd (AXSB)
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.
The BSE India Sensitive Index, or Sensex, fell 298.57 points, or 1.7 percent, to 16,866.97. The S&P CNX Nifty Index on the National Stock Exchange lost 1.8 percent to 5,059.45. The BSE 200 Index retreated 1.7 percent to 2,089.22. SGX S&P CNX Nifty Index futures for September delivery lost 1.8 percent to 4,951 as of 11:22 a.m. in Singapore.
Garment makers: Companies like Arvind Ltd. (ARVND) and Gokaldas Exports Ltd. (GEXP) may be affected after a producers’ group said cotton exports from India, the world’s second-biggest grower, may jump as much as 21 percent next year on a record crop and as the government scraps restrictions on shipments. Arvind shares rose 8.2 percent to 92.2 rupees and Gokaldas lost 1.4 percent to 79.85 rupees.
Axis Bank Ltd. (AXSB) : The Reserve Bank of India has approved Axis Bank Ltd.’s revised plan to acquire the brokerage and investment-banking businesses of Enam Securities Pvt, the Business Standard reported on Sept. 10, citing people familiar with the deal. Axis Bank’s unit, Axis Securities & Sales, may pay cash to the bank before merging Enam’s businesses, the newspaper reported. The merger is an “all-stock deal,” Axis spokesman Julius Samson said Sept. 9. Shares fell 4.1 percent to 1,103.3 rupees.
Bharat Electronics Ltd. (BHE) : The state-owned company last week won a $129 million contract, in collaboration with a foreign firm, The Times of India reported, citing an unidentified official. The stock gained 0.4 percent to 1,605.7 rupees.
Cairn India Ltd. (CAIR) : India’s oil ministry is expected to soon approve Cairn India’s proposal to start pumping crude oil from the Bhagyam field that would ramp up the Rajasthan block’s output by a third, to 165,000 barrel per day, The Economic Times reported, citing two unidentified people with direct knowledge of the matter. Shares dropped 1.1 percent to 284.15 rupees.
GAIL India Ltd. (GAIL) : A unit of the company has signed a gas distribution agreement in the Indian state of Andhra Pradesh, according to an e-mailed statement from the company. GAIL shares fell 2.1 percent to 414.15 rupees.
Hero Motocorp Ltd. (HMCL IN): The motorcycle-maker was raised to “hold” from “sell” by equity analyst B. Rao at Deutsche Bank, with a 12-month target price of 1,950 rupees. The shares rose 2.4 percent to 2,222.5 rupees.
Karnataka Bank Ltd. (KBL) : The lender has been fined 500,000 rupees by the Reserve Bank of India for violating norms on derivatives, according to an e-mailed statement from the central bank. Shares fell 2.1 percent to 97.2 rupees.
Kohinoor Foods Ltd. (KFL) : U.S.-based food products maker McCormick & Co. Inc. completed its joint venture with Kohinoor Foods. McCormick invested 5.2 billion rupees ($111.7 million) for 85 percent of the venture. Kohinoor shares rose 6.1 percent to 45.15 rupees.
Maruti Suzuki Ltd. (MSIL IN): Osamu Suzuki, chairman of Japan’s Suzuki Motor Corp., which owns 54 percent of the Indian company, said management “will not accept any indiscipline” and all workers will have to sign a good-conduct bond. The company on Aug. 30 said managers had replaced workers locked out for refusing to sign the pledge. Employees went on strike for 11 days in June, demanding better working conditions. Shares fell 2.5 percent to 1,103.4 rupees.
Oil India Ltd. (OINL) : The nation’s second-biggest state-run oil producer, which is in talks with French oil explorer Etablissements Maurel & Prom SA (MAU FP) to acquire a stake in its Gabon blocks valued at $2 billion, plans to close the deal by March, the Mint newspaper reported, citing a company executive it didn’t identify. Oil India shares were little changed at 1,319.55 rupees.
Reliance Industries Ltd. (RIL) : India’s biggest company by market value said it is confident of unlocking the full potential of its KG-D6 and other natural gas blocks in partnership with BP Plc. Reliance shares fell 3.1 percent to 825.75 rupees.
Remidicherla Infra & Power Ltd. (RMPL) : The company said it has won orders worth 4.68 billion rupees to help build roads in India. The shares were not traded.
Tata Motors Ltd. (TTMT) : The group’s Chief Executive Officer Carl-Peter Forster resigned with immediate effect because of “unavoidable personal circumstances,” according to an e-mailed statement. The shares fell 3.3 percent to 764.9 rupees.
Ultratech Cement Ltd. (UTCEM) : The company is facing margin pressure because of rising costs, Chairman Kumar Mangalam Birla told shareholders in Mumbai. The shares fell 2.6 percent to 1,088.95 rupees.
To contact the reporters on this story: Jeanette Rodrigues in Mumbai at firstname.lastname@example.org
To contact the editor responsible for this story: Darren Boey at email@example.com
Bloomberg reserves the right to edit or remove comments but is under no obligation to do so, or to explain individual moderation decisions.