Balaji, GTL, MMTC, Satyam, Reliance Communications : India Equity Preview
The Bombay Stock Exchange Sensitive Index, or Sensex, gained 273.22, or 1.6 percent, to 17,338.17, the S&P CNX Nifty Index on the National Stock Exchange rose 1.5 percent to 5,197.70 and the BSE 200 Index increased 1.3 percent to 2,195.43. SGX CNX Nifty Index futures for June delivery were little changed at 5,206.0 at 10:30 a.m. in Singapore.
AIA Engineering Ltd. (AIAE IN): The engineering company that makes components for grinding mills was rated “overweight” in new coverage by Vinay Pandit, an analyst at IFCI Financial Services, with a 12-month share-price estimate of 444 rupees. The stock declined 0.9 percent to 400.6 rupees.
Balaji Telefilms Ltd. (BLJT IN): Star India plans to sell its 26 percent stake in Balaji Telefilms, VCCircle’s website reported, citing people it didn’t identify. Reliance Big Entertainment, a unit of Anil Dhirubhai Ambani Group, may buy the stake, the website said. The shares surged 19 percent to 57.90 rupees.
DLF Ltd (DLFU IN): India’s biggest developer was rated “hold” in new coverage by Amit Agarwal, an analyst at Daiwa Securities Capital Markets, with a share-price estimate of 278 rupees. DLF rose 0.8 percent to 264.4 rupees.
GTL Infrastructure Ltd. (GTLI IN): Reliance Infratel Ltd. and GTL Infrastructure, a telecommunications network provider, are in talks for a possible agreement, CNBC TV-18 television channel reported, citing people it didn’t identify. GTL gained 4.6 percent to 39.80 rupees.
Housing Development & Infrastructure Ltd. (HDIL IN): The builder of homes and industrial zones was rated “hold” in new coverage by Daiwa Securities’ Agarwal, with a share-price estimate of 226 rupees. The stock lost 0.3 percent to 235.4 rupees.
Lanco Infratech Ltd. (LANCI IN): The infrastructure developer was raised to “overweight” from “equal-weight” by Parag Gupta, an analyst at Morgan Stanley, who said the company is “becoming a serious player in the power industry.” The share- price estimate was increased to 79 rupees from 44 rupees. The stock added 1.2 percent to 63.8 rupees.
MMTC Ltd. (MMTC IN): The trading company will consider a proposal on June 29 to issue free shares and split its stock, according to a statement to the Bombay Stock Exchange. The shares slid 0.5 percent to 28,505.35 rupees.
NTPC Ltd. (NATP IN): The power utility plans to set up an overseas unit and a domestic subsidiary to manage its coal mines, as well as seeking to buy coal mines to meet its need for fuel, the Mint newspaper reported, citing the New Delhi-based company’s Chairman and Managing Director R.S. Sharma. The shares were little changed at 199.95 rupees.
Orbit Corp Ltd. (ORB IN): The real estate company was rated “buy” in new coverage by Daiwa Securities’ Agarwal, with a share-price estimate of 367 rupees. The stock was little changed at 249.15 rupees.
Puravankara Projects Ltd. (PVKP IN): The property developer was rated “buy” in new coverage by Daiwa Securities’ Agarwal, with a share-price estimate of 150 rupees. The stock added 0.5 percent to 103.5 rupees.
Reliance Communications Ltd. (RCOM IN): India’s second- largest wireless carrier plans to spin off its mobile-phone tower unit and use the proceeds to pay debt. The company controlled by billionaire Anil Ambani is in “advanced talks” with local and overseas companies for a cash and stock transaction for Reliance Infratel Ltd. (RITL IN), according to an e-mailed statement today. Reliance Communications gained 3.8 percent to 179.10 rupees.
Satyam Computer Services Ltd. (SCS IN): The software developer at the center of India’s biggest accounting probe sought approval from the Company Law Board to extend the time for filing various documents including its financial results until Sept. 30, according to a statement on the Bombay Stock Exchange. The shares rose 3.5 percent to 89 rupees.
Strides Arcolab Ltd. (STR IN): The drugmaker won regulatory approval from the U.S. FDA for its sumatriptan succinate injection, used to treat migraine attacks and cluster headache, according to a statement on the Bombay Stock Exchange. The shares added 2.2 percent to 390.15 rupees.
Unitech Ltd. (UT IN): India’s second-biggest developer was rated “hold” in new coverage by Daiwa Securities’ Agarwal, with a share-price estimate of 77 rupees. The stock added 0.7 percent to 68.7 rupees