Cipla, Indian Oil, MRF, Muthoot, Jindal: 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.

The Bombay Stock Exchange Sensitive Index, or Sensex, fell 258.78, or 1.4 percent, to 18,210.58. The S&P CNX Nifty Index on the National Stock Exchange lost 1.4 percent to 5,459.85. The BSE 200 Index decreased 1.4 percent to 2,249.40. SGX S&P CNX Nifty Index futures for May delivery advanced 0.8 percent to 5,479.5 as of 10:59 a.m. in Singapore.

Oil refiners: Bharat Petroleum Corp. (BPCL IN), Indian Oil Corp. (IOCL IN) and Hindustan Petroleum Corp. (HPCL IN) were raised to “neutral” from “reduce” at Nomura Holdings Inc., which said further “downside” may be limited following the fall in the shares. The brokerage increased Bharat Petroleum’s share-price estimate to 620 rupees from 425 rupees, and raised their forecast for Indian Oil to 365 rupees from 240 rupees, analysts led by Anil Sharma wrote in a report. They lifted the price estimate for Hindustan Petroleum to 380 rupees from 270 rupees.

Cipla Ltd. (CIPLA IN): India’s third-largest drugmaker posted its biggest drop in quarterly profit in almost four years because of expenses to build a factory. Net income fell 23 percent to 2.14 billion rupees ($48 million) in the quarter ended March 31, the company said in an exchange filing. The shares slid 1.8 percent to 303.65 rupees.

GVK Power & Infrastructure Ltd. (GVKP IN): The company’s unit that operates the Mumbai airport has submitted to the regulator details of development fees collected at the airport, Yashwant Bhave, chief of the Airports Economic Regulatory Authority of India, said in New Delhi. The shares decreased 1.3 percent to 22.4 rupees.

Hatsun Agro Products Ltd. (HTSMF IN): The nation’s biggest private dairy company said that milk output in India will climb to a record this year as normal rainfall boosts fodder supplies. Hatsun’s Managing Director R.G. Chandramogan spoke in an interview. The shares fell 1.2 percent to 202.05 rupees.

Jyothy Laboratories Ltd. (JYL IN): The consumer products maker has agreed to acquire 50.97 percent of Henkel India Ltd. (HNKL IN), according to a statement to the Bombay Stock Exchange. Jyothy will make an offer for an additional 20 percent stake in Henkel, the statement said. Jyothy’s shares rose 8.1 percent to 223.25 rupees.

Jindal Steel & Power Ltd. (JSP IN): India’s second-largest steelmaker by market value deferred plans to raise 72 billion rupees ($1.6 billion) selling shares of unit Jindal Power Ltd. because of lower market valuations, the Economic Times reported, citing a company spokesman.

Separately, the company was raised to “buy” from “hold” at Citigroup Inc., which said the company is its “top pick” among Indian conglomerates. The brokerage increased its share-price forecast to 726 rupees from 676 rupees, analysts led by Atul Tiwari wrote in a report. The shares were little changed at 621.9 rupees.

Karuturi Global Ltd. (KARG IN): The Indian food processor may receive an additional 200,000 hectares (494,211 acres) of land from the Ethiopian government if its current 100,000-hectare concession is developed within two years, the Ethiopian Agriculture Ministry said. The shares lost 2.5 percent to 11.95 rupees.

MRF Ltd (MRF IN): India’s second-biggest tire producer by market value plans to sell at least 5 billion rupees of bonds this month, according to three bankers with knowledge of the company’s financing plans. The shares gained 0.4 percent to 6,934.2 rupees.

Muthoot Finance Ltd. (MUTH IN): The financing company will commence trading after raising 9 billion rupees in an initial public offer at 175 rupees per shares.

National Fertilizers Ltd. (NFL IN): India’s government plans to sell a 20.4 percent stake in the state-run company through a follow on public offering, according to an advertisement in the Economic Times newspaper today. The state-owned company today invited bids from banks to manage the sale, the advertisement showed. The shares dropped 1.7 percent to 101.35 rupees.

Oil & Natural Gas Corp. (ONGC IN): A proposed share sale in the state-run explorer will start on July 5, the Press Trust of India reported, citing an official it didn’t identify. The shares rose 0.1 percent to 309.95 rupees.

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