We had mentioned in Friday’s closing report that Nifty, Sensex may give up some gains. The major indices opened high but ended flat or with minor losses. On the NSE, there were 718 advances, 1,095 declines and 347 unchanged. The trends of the major indices in the course of Monday’s trading are given in the table below:
Both the Sensex and Nifty opened slightly higher led by heavyweight like Reliance Industries (RIL) and Bharti Airtel following tariff-hike announcement of up to 40% on Sunday by the telecom companies.
The Finance Ministry will recapitalise the state-run general insurance companies ahead of taking further steps in their mergers to shore up their balance sheet and solvency ratio but the amount appears to be short of the requirement.
The ministry recently sought approval from the Parliament for an additional requirement of funds for recapitalisation of insurance companies of Rs2,500 crore through demand for grants. The three firms needed immediate recapitalisation of at least Rs2,000-3,000 crore each to maintain solvency ratios and reduce losses. The total requirement is up to Rs12,000 crore.
Mahindra and Mahindra Financial Services said the IFC, part of the World Bank Group, has anchored an investment round of $200 million in the company to create a dedicated pool for micro, small and medium enterprises (MSMEs) in low-income states. In a regulatory filing, Mahindra Finance said the IFC had invested $75 million from its own account and was mobilising $125 million as parallel loans. At least $100 million will be earmarked for women-owned MSMEs and supported by blended finance from the IFC-Goldman Sachs' Women Entrepreneurs Opportunity Facility. Mahindra Finance has committed $225 million to this pool.
L&T's technology services arm won a contract from global aerospace major Airbus India to manage its avionics software development, validation, verification and data analytics. "The win from Airbus reaffirms our years of expertise in the aviation space and investment in technologies," the company said.
A day after Yes Bank announced that it has received investment interest from a bunch of unknown and somewhat shady investors, the stock tanked 6.22% Kolte-Patil Developers has completed the second tranche payment of Rs70 crore to India Advantage Fund-III (IAF-III) and India Advantage Fund-IV (IAF-IV) managed by ICICI Venture Funds Management for the buyout of their 50% stake in KPDL's flagship township project - Life Republic. Following the buyout, KPDL'S economic interest in Life Republic will increase to 95% and the company's overall economic interest in its entire portfolio of projects will rise from ~60% to ~90%.
TVS Motor Company registered sales of 266,582 units in November 2019 as against sales of 319,965 units in the month of November 2018. Shifting of Diwali season to the earlier month and planned adjustment of BS IV stocks is reflecting in the sales growth difference between November 2018 and November 2019.
Hero MotoCorp has sold 516,775 units in November 2019, as against 610,252 units in November 2018. Out of this, the company has sold 479,200 motorcycles and 37,575 scooters in November 2019 as compared to 543,982 motorcycles and 66,270 scooters in November 2018.
Suven Life Sciences share price plunged 19% after the company announced top-line results of SUVN-502 (Masupirdine) Phase 2A study in patients with Moderate Alzheimer''s Disease (AD). The unique triple-therapy (Masupirdine+ Donepezil+ Memantine) design was based on efficacy results in pre-clinical cognition models in which masupirdine enhances the effects of combined treatment with Donepezil and Memantine. Masupirdine (SUVN-502) is safe and well-tolerated without significant adverse events, while triple therapy of Masupirdine (SUVN-502) with Donepezil and Memantine proof of concept phase 2 study missed its pre-specified primary endpoint.
The top gainers and top losers of the major indices are given in the table below:
The closing values of the major Asian indices are given in the table below: