Adani, GVK Power, ING Vysya, Reliance: 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’s Sensitive Index, or Sensex, fell 156.67, or 0.8 percent, to 19,292.02. The S&P CNX Nifty Index on the National Stock Exchange declined 0.8 percent to 5,785.45. The BSE 200 Index retreated 0.8 percent to 2,383.20. SGX S&P CNX Nifty Index futures for May delivery fell 0.3 percent to 5,795 as of 10:44 a.m. in Singapore.
Urea Companies: Indian government may end state control on pricing of urea, a fertilizer, as the government seeks to lower spending on subsidies, three government and two industry officials said.
State-run Refiners: The country’s state-run refiners are losing 4.9 billion rupees ($110 million) daily on selling fuel below cost, according to an e-mailed statement from the oil ministry yesterday.
Indian Oil Corporation Ltd. (IOCL IN) declined 0.1 percent to 338.35 rupees, Bharat Petroleum Corp. (BPCL IN) rose 0.5 percent to 634.65 rupees, and Hindustan Petroleum Corp. (HPCL IN) fell 0.1 percent to 374.85 rupees.
Adani Enterprises Ltd. (ADE) : The trading firm will import 140,000 metric tons of coal from Russia, Vinay Prakash, chief executive officer for coal and carbon credit, said in an interview yesterday. The company also plans to bid for NTPC Ltd.’s 4 million ton coal import tender, he said.
Separately, the company is likely to emerge as the preferred bidder for Queensland’s Abbot Point coal port, the Australian Financial Review reported in its Street Talk column, without saying where it got the information. The shares gained 0.1 percent to 641.35 rupees.
Bank of Baroda (BOB) : The lender was cut to “neutral” from “overweight” by Adarsh Parasrampuria, an analyst at JPMorgan Chase & Co. (JPM) with a 12-month estimate of 1,000 rupees per share. The shares sank 4.9 percent to 941.8 rupees.
GVK Power & Infrastructure Ltd. (GVKP) : The infrastructure company is the preferred bidder for the assets of Gina Rinehart’s Hancock Coal in Queensland state’s Galilee Basin, the Australian Financial Review reported in its Street Talk column, without saying where it go the information. GVK, with a market value of A$1 billion, faces costs of about A$2 billion to buy the assets and as much as A$8 billion to develop infrastructure, according to the report. The shares shed 0.8 percent to 24.15 rupees.
ING Vysya Bank Ltd. (VYSB) : The lender was given an “outperform” rating in new coverage at Credit Suisse Group AG, which said it expects profits to double over the next three years. “Strong growth will drive profitability,” with the bank’s network “improving” as new branches open in urban areas outside South India, Credit Suisse analysts led by Anish Tawakley wrote in today’s report. They set a price estimate of 460 rupees. The shares slid 0.6 percent to 352.75 rupees.
Power Grid Corp. of India (PWGR IN): The nation’s largest electricity transmission company is bidding for contracts in African nations including Nigeria and Kenya to expand its business, Chairman S.K. Chaturvedi said in an interview yesterday at his office in Gurgaon near New Delhi. The shares dropped 0.3 percent to 104.05 rupees.
Ranbaxy Laboratories Ltd. (RBXY) : The biggest Indian drugmaker by revenue and the U.S. Food and Drug Administration urged a federal judge to dismiss a lawsuit filed by Mylan Inc. that challenges whether only the local company can begin selling copies of the cholesterol pill Lipitor later this year. Ranbaxy shares plunged 3.4 percent to 453.75 rupees.
Reliance Industries Ltd. (RIL) : India’s most valuable company is in talks with the Bharti group to buy the latter’s stake in an insurance venture with Axa SA, the Economic Times reported, citing a company official it didn’t name. The Bharti group owns 74 percent of Bharti Axa Life Insurance, the report said. Manoj Warrier, a spokesman for Reliance, declined to comment. The shares dropped 1.4 percent to 972.4 rupees.
Shipping Corp. of India Ltd. (SCI IN): The nation’s largest sea-cargo carrier hired State Bank of India to help it borrow $216 million in a two-part loan, according to two people familiar with the matter. The shares fell 2.3 percent to 111.6 rupees.
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