Coal India drops over 3% on offer for sale
Shares of Coal India slipped over 3% to Rs363.70 on NSE in opening moves to Rs362 levels, after the government’s offer for sale (OFS) opened for subscription today.
Coal India OFS to open today; sale floor price set at Rs358/Share (retail investors to get 5% discount on discovered price) – Attractive price for investors given the improving volume growth outlook, healthy balance sheet and high dividend yield.
HCC spurts 16% as higher execution led to earnings growth
Shares of Hindustan Construction Company ( HCC) rallied 16% to Rs33.80 on NSE after reporting a five-fold jump in standalone net profit at Rs27.1 crore for the quarter ended December 31, 2014 (Q3), on the back of a higher turnover. The stock opened at Rs31.90 and hit a high of Rs34.30 on NSE. The infrastructure major had posted a net profit of Rs 5.4 crore for the corresponding quarter a year ago.
Bharti Airtel falls 2% on stake sale plans to Kotak Bank
Shares of Bharti Airtel falls 2% to Rs368.80 on NSE on plans to sell 19.39% stake in its payment banking venture to Kotak Mahindra Bank – Positive for Kotak Bank as well as Bharti Airtel.
Bharti Airtel announced that it’s wholly owned subsidiary Airtel M Commerce Services Limited (AMSL) is seeking to convert its existing Prepaid Payment Instrument license into a Payments Bank license to be issued by the Reserve Bank of India.
Tata Motors to raise Rs7,500 crore via rights issue
Tata Motors management has proposed a rights issue to the tune of Rs7,500 crore. Proceeds from the issue will be utilized to fund a portion of the ongoing capital expenditure, increase investments in subsidiaries to support future growth opportunities and partly to de-leverage the balance sheet and build financial flexibility.
Government to infuse funds into stalled road projects
The road ministry has proposed to allow road developers to borrow additional funds from the NHAI required to complete stalled projects at a rate lower than that offered by banks. The move if implemented will help the execution of stalled projects which were unable to complete owing to want of funds and banks unable to lend additional loans. The development is positive for the road sector especially players like IRB Infrastructure, IL&FS Transportation, Ashoka Buildcon, Sadbhav Engineering among others.